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UK Chancellor Rishi Sunak is hopeful his 'Eat Out to Help Out' scheme will kick-start the hospitality sector and help to restore public confidence. /AP
"Eat Out to Help Out" is the UK government's latest scheme designed to kick-start the country's hospitality industry, which has been devastated by the COVID-19 pandemic.
In recent weeks, restaurants, cafes and pubs have been allowed to reopen following an easing of lockdown restrictions but public confidence is yet to return, meaning many business are still struggling to generate their previous levels of income as people stay at home.
UK Chancellor Rishi Sunak, who is becoming renowned for his largesse in protecting parts of the economy, has talked up the potential benefits of the scheme – but how exactly will it help both businesses and consumers?
Between 3 and 31 August, in participating restaurants, cafes and pubs, diners will get a 50% discount on food and non-alcoholic drinks. /AFP
Sizeable discounts
Between 3 and 31 August, in participating restaurants, cafes and pubs, diners are being treated to a 50 percent discount on food and non-alcoholic drinks.
The offer is only available Monday to Wednesday and people will receive a maximum discount of $12 per head.
So, if two people spend $60 on a night out, the discount they receive will be about $24.
The restaurants, pubs and cafes will be able to claim the money back from the government which promises to have the money in their bank accounts within five working days.
Despite reopening their doors, many UK restaurants, pubs and cafes have suffered a drop in income, with people choosing to stay at home. /AFP
It's not exactly a free meal, but the Treasury knows two things to be true – firstly that people are still nervous about going out, and secondly that the restaurants need all the help they can get to stay afloat and safeguard millions of jobs.
The scheme works in all eat-in establishments and includes soft drinks and packaged snacks as long as they are consumed on the premises.
It does not apply to alcohol, tobacco products, or food and drink that is to be consumed off the premises as part of a private party, event or function.
That means the offer doesn't stretch to food or drink served at weddings, takeaways, or mobile food vans, while the discount also can't be claimed on service charges.
Sunak will be hopeful the offer tempts millions of people back to the high street and bolster the hospitality industry – if it doesn't, then many businesses could struggle to survive.