For the coming period, all restaurants and cafés will be able to count on an amount of ten percent of the turnover in a similar period last year. Flemish Minister of Economy and Employment Hilde Crevits (CD&V) announced this on Saturday evening. Cafés and restaurants will therefore not have to demonstrate that they have at least sixty percent loss of turnover.
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The federal and state governments decided yesterday / Friday during a consultation committee to further tighten the measures to contain the rising corona infections. The catering industry in particular is the child of the bill: cafés and restaurants must close their doors for a month from Monday, although an evaluation will follow after two weeks. Other entrepreneurs, such as suppliers for the catering industry, are also severely affected by this.
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The various governments do provide a substantial package of support for the companies concerned. Discussions about this with the sector are still in full swing, but it is certain that companies that suffer at least 60 percent loss of turnover in the period between October 1 and November 15 will be able to claim an amount of ten percent of their turnover of last year.
Restaurants and cafés will not have to demonstrate that percentage of loss of turnover, says Flemish Deputy Prime Minister Hilde Crevits. “Because they are closed, they are automatically entitled to ten percent of the turnover they generated in a similar period last year,” she said in Het Journaal op Eén.
Doubt
Flemish MP Tom Ongena (Open Vld), among others, had expressed his concern about this earlier in the day. “Many restaurant owners fear that they will not receive support because they will not fall under the 60% condition,” it said Saturday afternoon. “Because they have already made sales from October 1, they are now in doubt whether they would start making takeout menus, because then they risk exceeding that threshold and missing out on any support,” says Ongena.
Fixed costs
The turnover support is primarily intended to help affected companies to be able to continue to pay the ongoing fixed costs. In addition, other Flemish support measures, such as the regulation on the commercial lease agreement, will continue to run, Crevits confirmed.
A support package is also being developed at the federal level. For example, the bridging right will be doubled and the social security contributions will be temporarily waived. Tomorrow / Sunday and early next week, this will be discussed with the sector.
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