The government's working from home guidance - not Omicron - is the main issue crippling the hospitality sector and has seen some venues suffer a 60% loss in bookings, a restaurant boss said today.
Ministers are coming under intense pressure to remove the policy following fresh evidence the latest Covid wave is subsiding.
Alastair Storey, CEO of Westbury Street Holdings, which has around 19,000 employees at its restaurants including the chain Benugo, said he expected 'a very rapid recovery' if workers are allowed to return to the office.
He told BBC Radio 4's Today programme: 'Although we've got a five per cent rate of absence the real problem is the lack of footfall.
'If you look at city centres and travel locations you'll see footfall is well down, and that's a big challenge for the whole hospitality sector.
'We've got great staff ready to go. Clearly, the booster programme has had a positive effect and it's good to see the restrictions are easing.
'When we see people returning to work with government approval we should see a very rapid recovery for the economy.'
The number of journeys taken by foot, on public transport and in cars is 32%, 22% and 20% higher consecutively than on January 13 last year, but the figures are still down compared to before WFH guidance came in.
Alastair Storey, CEO of Westbury Street Holdings, (left) said he expected 'a very rapid recovery' if workers are allowed to return to the office. Sajid Javid (right) has suggested WFH guidance will go before the end of the month
City centre footfall has taken a battering due to the government's working from home guidance. Pictured: Empty streets around Kings Cross yesterday
The number of journeys taken by foot, on public transport and in cars is 32%, 22% and 20% higher consecutively than on January 13 last year, but the figures are still down compared to before WFH guidance came in
The Pret Index: Figures show footfall at Pret A Manager stores - which is often used as a barometer for the wider hospitality sector - is still dramatically down on pre-pandemic levels
Asked how badly WFH had affected the business, he said: 'It's been massive, in some places we've seen a 50 or 60 percent reduction in volumes.
'In rural or staycation areas places are doing well but its in city centre and travel areas where business has been particularly badly hit.'
Today, UK Hospitality chief Kate Nicholls called England's Plan B - which includes WFH, face masks in indoor venues other than hospitality and vaccine passports at nightclubs - to be lifted before the end of the month.
Chris Soley, CEO of Camerons Brewery in Hartlepool, backed her demands, tweeting: 'Visiting London and Leeds this week and with WFH advice these cities are like ghost towns.
'Large corporations essential for city centre footfall that supports businesses, jobs and the economy will not let workers back until the guidance changes. WFH rules must be reversed ASAP.'
Revealing its results today, Mitchells & Butlers (M&B) said fears over the spread of the Omicron variant of Covid-19 led to few drinkers in pubs in the run up to Christmas.
Phil Urban, boss of the pub and bar group, said the business saw reduced customer activity and 'disruption caused by the inevitable isolation of team members' due to soaring virus cases last month.
The company told shareholders it had seen an 'encouraging' performance for most of the latest quarter, but lost its strong momentum towards Christmas and New Year due to the public's concerns over the rapid spread of the virus.
M&B, which also owns the Harvester chain, said it is also facing a surge in costs due to higher wages and soaring energy costs.
The hospitality firm said it expects to face between £60 million and £65 million higher costs than typical pre-pandemic levels due to the inflation pressures.
On Thursday, daily Covid cases fell by nearly 40 per cent in a week to 109,133 — the eighth day in a row that positive tests have declined week-on-week
