To support the hotel industry massively impacted by the health crisis, and more widely to help the entire tourism industry, a vast support plan has been put in place. While the extension of the emergency plan may meet short-term needs, accompanying fiscal and social measures have also been implemented as well as financing and investment support schemes.
The HoReCa industry is quite possibly the most affected by the health crisis. Its stakeholders were the first to close down and will probably be among the last to reopen. In order to help businesses in need, several schemes have been created including the solidarity fund,whichallows them to benefit from aid of up to €10,000. The criteria for claiming such grants are easily accessible online.
Another measure put in place to alleviate the pressure on hotels and restaurants is the partial activity scheme, which allows the state to cover 100% of the employees’ compensation, up to 4.5 times the minimum wage.
Finally, the state-guaranteed loan allows establishment managers who need funds to invest in their business to do so quickly and without bearing the usual administrative burdens.
These measures may provide a good opportunity to review out-dated operating modes that no longer meet the requirements of consumers looking for digital solutions. Pindot’s teams are available to assess the establishment’s needs according to its organisation and configuration.
These measures come as a relief to the industry, which is under enormous pressure. They are supported by fiscal and social measures that will bring great relief to all stakeholders. Indeed, the exemption from social security contributions for VSEs and SMEs, the spreading of tax and social security charges, the reduction in tourist accommodation tax, the reduction in property tax for businesses, the cancellation of rents and charges for occupation of the public domain during the administrative closure period, are all measures with immediate and positive impact on the tourism industry, which has been heavily affected by the lockdown.
Finally, this context shows how important it is to have support in terms of communication at the national level. Indeed, the post-lockdown in June saw a flourish of advertising slogans for specific regions. The same is true for the HoReCa industry that could count on the support of French consumers who were invested in supporting local businesses. This support will undoubtedly enable restaurant and hotel managers to regain confidence in the future and fill their establishments with committed and more responsible customers.
The hotel industry, although closely linked to tourism, has more room for manoeuvre as it can count on local customers who are evolving towards more local, responsible and committed modes of consumption.