‘Reasonably positive and strong’ summer for Hastings businesses

Hastings businesses have seen a ‘reasonably positive and strong trading period’ as restrictions eased over the summer.
Hastings seafrontHastings seafront
Hastings seafront

But several sectors are having recruitment issues, mirroring a national trend, while the government’s Kickstart scheme to create new jobs for 16 to 24 year olds on Universal Credit has come in for some heavy criticism.

Accommodation providers have also been hit by a number of last-minute cancellations as holidaymakers swapped domestic holidays for foreign trips.

Hide Ad
Hide Ad

Sean Dennis, director of the Hastings Area Chamber of Commerce, described how a number of sectors that had performed well during the pandemic such as professional services and construction were continuing to do so.

Manufacturing was also doing reasonably well, while retail and hospitality had seen a ‘particularly strong recovery’ and had pushed hard to ‘make hay while the sun shines’ during the peak summer period.

He was giving an update on business recovery to the Hastings and St Leonards Local Strategic Partnership at a meeting on Monday (September 13).

Mr Dennis said: “We have had a reasonably positive and strong trading period as restrictions have gradually been easing.”

Hide Ad
Hide Ad

But he noted that nationally growth was slowing, with concerns about the planned rise in National Insurance costs and the end of the furlough scheme.

The two most pressing issues were global supply issues which were a ‘mess’ and difficulties in recruitment.

On the former, he described how the current volatility of costs meant some businesses were struggling to provide accurate quotes for work given prices were changing constantly.

Meanwhile on the latter he said: “There’s lots of businesses that have got employment opportunities to grow and want to grow and are being held back because they are unable to recruit.”

Hide Ad
Hide Ad

Businesses have seen a reduction in the volume of applications and the quality coming through. This was something experienced across the board from hospitality to professional services.

They had talked to employment agency Reed to understand the possible reasons for this, and while there were a lot of good clients, some were ‘biding their time’ and holding out for the right job at the right salary.

The start-up end of the business market is ‘relatively buoyant’ in Mr Dennis’ words, with several DFLs ‘Down from Londons’ setting up shop, particularly in the Old Town and St Leonards.

He highlighted the case of an inward investor from Europe who had set up in the town and was ‘very positive’ about future growth opportunities both locally and future afield.

Hide Ad
Hide Ad

Mr Dennis said: “It’s not all doom and gloom by any stretch of the imagination and there are opportunities for the town to carry on developing and growing its offer. It’s very much a town of three parts. Some are doing relatively well and are popular. The bit in the middle is really struggling.”

The national Kickstart Scheme, launched with much fanfare by the government this time last year, came in for a bit of a kicking from several members of the LSP.

Daniel Shelley, from the East Sussex College Group, said: “It started badly, went wrong in the middle and probably has not achieved very much at the end.”

Carole Dixon, chief executive of the Education Futures Trust, said she had raised the problems with MP Sally-Ann Hart and how Kickstart had ‘not really been given a chance’. She added: “The DWP advisors are quite clear it has not done what it should have done.”

Hide Ad
Hide Ad

More generally, Mr Dennis said they had seen a ‘noticeable’ reduction or lack of referrals from the DWP over the last six to nine months.

At the virtual meeting, Kevin Boorman, marketing and major projects manager at Hastings Borough Council, also gave an update on tourism and hospitality.

Both had seen major issues with recruitment which were ‘far worse’ than anything he had seen over the last two decades.

The town’s attractions and shops had done ‘extremely well’ over the summer, with the seafront car parks full every single day.

Hide Ad
Hide Ad

But for accommodation providers the picture was more mixed. Difficulties recruiting was one issue, but the larger one had been last-minute cancellations.

As some businesses had taken bookings much earlier in the year with no quibble refunds, ‘canny’ people had organised domestic staycations as a back-up to foreign holidays.

When travel restrictions eased, those who could afford to do so had travelled abroad and cancelled their holidays here in the UK at short notice.

The worry for next year is that many people will travel abroad again and Hastings would not see a quick rebound to the levels of international visitors it saw pre-pandemic.

Hide Ad
Hide Ad

There were also concerns about the number of language students who would be attracted to the town next year.

Given the uncertainties around Covid, Mr Boorman said there was also reluctance from many hospitality businesses to start seriously advertising for next year.