SOME businesses in Cornwall are facing “a financial cliff edge and job losses” as a result of the new lockdown and need the assurance of future support, says Local Enterprise Partnership (LEP) chair Mark Dudderidge.

The LEP has stressed that the business community recognised the urgent action needed to bring Covid-19 under control – and that it backed the decision by the Government to move into another national lockdown. But it says that there will need to be further support to help keep businesses afloat.

Mr Duddridge said that the Government’s business grants, particularly for the hospitality, retail and leisure sectors which have been hit hard by the restrictions and forced to close, were welcomed.

But he said that there would be a need for more financial support, in particular for self-employed people who have missed out in previous schemes.

He said: “This is the third national lockdown and we are facing that hurt in the business community from a financial and emotional point of view.

“Many businesses were looking forward to the new year and hoping that things would get better. That optimism has evaporated rather quickly.”

Mr Duddridge highlighted that despite the busy summer in Cornwall, it was estimated that the loss in income to the visitor economy in 2020 was around £852million.

He warned that a further £70m could be lost to the local economy if the lockdown continues, as expected, through February half term.

And he said that if the lockdown continues into March the total loss to the Cornish economy over the year could reach £1billion.

He said: “Many businesses are looking really carefully at a financial cliff edge and job losses.”

Business support measures such as rates relief and furlough schemes should be extended, said Mr Dudderidge, adding that support to be provided with a long term vision and not just to cover short term needs.

He called for more clarity from Government around funding which could be provided through its levelling up programme and the Shared Prosperity Fund – the money which will replace EU funding for parts of the UK such as Cornwall.

The LEP chairman said that it was hoped that the Chancellor’s budget statement in March would provide more details.

Mr Duddridge said that businesses in Cornwall were also having to deal with new regulations as a result of Brexit and praised the support which was available to help those affected.

He said that any businesses which need support in relation to Covid-19 or Brexit should go to the Cornwall and Isles of Scilly Growth Hub.