Cost of rail strikes to industry rises to £2.5bn

By Restaurant

- Last updated on GMT

Cost of rail strikes to industry rises to £2.5bn

Related tags ukhospitality Kate nicholls Government Hospitality

The impact of the train strikes has cost the hospitality sector a total of £2.5bn in lost sales since industrial action began in June last year, according to UKHospitality.

The revised figure is significantly up on the originally estimated £1bn cost of the strikes. It takes into account that the expected pre-Christmas bounceback during a period when fewer strikes were called never materialised, and also factors in the new strike dates called by rail workers this week, according to chief executive Kate Nicholls.

“Hospitality is facing a New Year hangover as rail strikes delay the return to work and make our town and city centres ghost towns for yet another week,” Nicholls tweeted.

She said that the impact of the travel disruption was deterring customers from booking restaurants or tickets to events in advance.

Industrial action by the RMT and Aslef unions this week has effectively seen workers return to the office delayed until Monday 9 January, due to Network Rail staff in the RMT union striking on 3, 4, 6 and 7 January and train drivers for Aslef striking on 5 January.

Just one in 10 train services are expected to will run tomorrow (5 January) in what is being dubbed ‘Tragic Thursday’ – the worst single day of strike action during a working week for decades.

The cost of the industrial action could rise further still with Mick Lynch, secretary general of the RMT union, warning yesterday (3 January) that the rail strikes could continue until the summer unless an agreement on pay and working patterns was reached.

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