ONE in five Belfast businesses believe full recovery from Covid may be more than two years away amid fears that the new-norm of hybrid/flexible working will also keep thousands of people out of the city.
There is also the prospect of a “jobs crisis” as a result of the restrictions imposed, with more than two thirds of businesses confirming they have already made redundancies, with more likely in the next six months.
But despite the city's economy remaining fragile and in need of careful nurturing, there remains an optimism and a real resilience that Belfast will battle back.
More than 200 businesses took part in a ‘Road to Business Recovery’ survey conducted by Belfast Chamber and Bauer Media.
The general view was that events of the past year will have a lasting impact on many Belfast businesses but there remains hope for the future.
Chamber chief executive Simon Hamilton said: “Over the last few weeks we've seen some positive steps, with many businesses open again for the first time since before Christmas.
“We are all hopeful that we have turned a page and that the successful vaccination roll out will ensure businesses won’t face future lockdowns and that we can begin on the journey towards recovery.”
He added: “But the survey reveals that whilst many business owners in Belfast are optimistic about the time ahead, we will be dealing with the effects of the pandemic for some time to come. Some 52 per cent say it will be more than a year before their business will recover financially, with one in five fearing it’ll take two years or more.
“The Chamber has been fearful of a jobs crisis, and 70 per cent of businesses told us they have already made cuts. Worryingly, more than a third of respondents aren’t sure if they’ll need to let more staff go, with nearly 30 per cent saying that they think their employee numbers will be lower than pre-pandemic levels by the end of 2021.”
The survey showed that further rates and grants support remain the most poplar intervention that businesses are seeking from government.
Despite the general negativity, the survey also showed that 45 per cent of respondents remain optimistic about the future of their businesses.
Mr Hamilton added: “There has been much commentary about what the pandemic might mean for Belfast, with some predicting the city’s demise as working from home becomes the norm.
“Half of businesses saying they’ll move to a hybrid model, with staff working in the office and from home, but interestingly, almost 60 per cent think they will require the same amount of office space or more.
“There is also widespread support for remaining in our city to help boost the economy, with major public realm redevelopment in streets like Royal Avenue, Donegall Place and High Street along with more city centre living the two most favoured physical and infrastructural interventions.”
