The prime minister has reportedly decided that with 99% of establishments facing tougher regulations in Tiers 2 and 3, the potential losses to the industry could be decisively damaging without Government aid.
A Government source told the Telegraph: “There are already grants of £2,000 and £3,000 for businesses in Tiers 2 and 3, but we recognise that we need to do more.”
Another senior Government source reportedly said: “We understand the fact that the hospitality industry has been particularly hard-hit during the pandemic.
“The Christmas period is a time of year when establishments would expect to be particularly busy so we are looking at how we can support them over the festive period.”
The decision comes as Johnson faces questions from up to 100 Tory members in the Covid Recovery Group (CRG).
Johnson asked for the government to “demonstrate unity and resolve” in a direct appeal to his own party’s backbench on Sunday (29 November), asserting that “the worst is nearly behind us”.
The prime minister is set to publish an analysis of the economic, social, and health consequences of the tiered system later today (30 November), after the Tory backbench claimed that they cannot back the scheme without knowing its effects.