A GROUP of 100 businesses has warned of a looming "black hole crisis" in the city centre of Glasgow if cash relief is not provided during new restrictions. 

Newsagents, hardware shops, convenience stores and other firms deemed as essential are calling on the Scottish Government for financial help throughout the Omicron outbreak. 

Without it, the Glasgow City Centre Small Business Alliance says that jobs and livelihoods will be lost due to long hardship brought on by the global pandemic. 

Glasgow Times:

Amjid Bashir, who owns Newsbox on Queen Street, argues that essential shops in the area should be entitled to grants recently made available for the hospitality industry.

“It isn’t only hospitality that will suffer. We will be severely impacted by these restrictions", he said. 

“The financial impetus needs to be released to us as well as bars and restaurants as there will be a severe drop in the numbers of people coming into the city centre.

“We don’t have furlough and we are worried about paying staff and our bills. We are businesses that are deemed as essential but our clientele is missing. We will be severely impacted by the restrictions again."

Yesterday, the Scottish Government announced it would make £100 million available to help businesses set to suffer from the new rules.

Glasgow Times:

Around  £66 million will go to the hospitality sector, £8 million will go to the food and drinks supply chain while £20 million will go to the culture sector, £3 million to the wedding sector and £3 million to the worst affected parts of the tourism sector.

The announcement came shortly after new restrictions were introduced in Scotland as part of efforts to minimise transformation of the new Covid variant, Omicron. 

People have been asked not to mix with more than three households before Christmas while the hospitality industry has been advised to consider adopting measures designed to maintain social distancing. 

Shortly after new guidance to bin Christmas parties was released this week, we exclusively told how two-thirds of festive bookings were been cancelled in bars and restaurants across the city.

Glasgow Times:

Mr Bashir has told how the cancellations won't only impact hospitality.
He said: "We're already noticing the drop in business due to cancelled festive parties. 

“Our sales have already dropped phenomenally during what is usually our busiest time of the year. We are concerned about stock running out of date and sales dropping.

“At the moment, we’re only making around 60% of our original intake. Due to recent restrictions, we are expecting this to drop to around 40%."

And it isn't the first time that the alliance has asked for help after essential businesses were snubbed from the Scottish Framework Fund.

READ MORE: Covid Scotland: 35 Glasgow businesses warn closures loom in lockdown

The lack of support caused Mr Bashir to close the Newsbox for eight months as he says it would not have been financially viable to remain open.

He said: "There was no footfall whatsoever to make staying open viable. We were only making £60 per day, it was cheaper for me to actually close.

“Last year left me with debts of up to £50,000 through a bounceback loan. On top of paying that back, I still need to pay rent and bills. 

"We don’t want to be forgotten like we were last time. We want to be included in any financial relief for businesses that will suffer. 

“Businesses in any city centre must be treated differently, they have to be looked at as it is the area most impacted yet it is the area that is least supported financially.

"If not, what we are looking at is a black hole crisis on our high streets. Business owners in the area need help urgently and if not, they will close down."

Speaking at a coronavirus media briefing held yesterday, First Minister Nicola Sturgeon admitted that while financial support is significant, it will not compensate for the losses caused by restrictions.

She said: "The support we’re providing is significant – but I know it won’t fully compensate these sectors for the impact they're suffering right now.

"That is why I wrote to the Prime Minister yesterday, asking the UK Government to provide the funding that is needed.

"In my view, businesses now need the type and scale of financial support that was available earlier in the pandemic.

"And the reality is that can only come from the UK Government - because it has borrowing powers that the Scottish, Welsh and Northern Irish governments simply do not have."

The Glasgow Times approached the Scottish Government for comment.