Wales' Covid-hit businesses to get £110m funding boost ahead of lockdown

Thousands of businesses will be shut from Christmas Eve ahead of a Wales-wide lockdown. Credit: PA Images

An extra £110 million of financial support will be made available to business that will be affected by the latest coronavirus restrictions in Wales.

Wales will start moving into stricter level 4 restrictions - the equivalent of a lockdown - from 6pm on Christmas Day, meaning non-essential retail, gyms and hospitality will close.

Businesses in the hospitality, tourism, non-essential retail, leisure and supply chain industries will be eligible for the funding.

The Welsh Government said the support package is expected to help "tens of thousands" of firms across the country.

It follows the £340 million support for Welsh businesses announced by ministers last month.

The Minister for Mental Health, Wellbeing and Welsh Language is set to reveal further details about the package at a Welsh Government press conference on Friday.

Retail leaders have expressed concern over the impact of another lockdown. Credit: PA Images

Tighter measures have been announced as the number of coronavirus cases in Wales continue to skyrocket.

A further 52 Covid deaths and 11,468 cases were reported on Thursday, with the case rate in Merthyr Tydfil climbing to a seven-day rolling average of 1,032 per 100,000 people.

On December 28, stricter restrictions for household mixing, staying-at-home, holiday accommodation and travel will also be enforced.

The Christmas Eve closure of non-essential retail has raised concerns among industry leaders.

The Welsh Retail Consortium said the decision could make it more difficult for shops to sell unsold Christmas stock.

“Lockdowns cost Welsh retailers over £100m a week in lost sales, and with continued low footfall in towns and city centres, many retailers face the stark reality of further job losses and store closures as a result of mounting rent bills and a return to full business rates liability from April," Sara Jones, Head of the Welsh Retail Consortium, said.

"Whilst we welcome the promise of support for those businesses affected, and that click and collect is permitted to stay open, the blunt reality is the offer of grant support won’t make up for those lost sales – we can only hope those shops forced to close can weather the storm ahead."