Ending the lockdown on July 4 is too late for restaurants, hotels and pubs to avoid being ruined by coronavirus, bosses warn.
Sources say Whitehall is in chaos as civil servants try to ease restrictions earlier for the hospitality industry and shops.
But guidelines for firms, including seasonal ones yet to hire staff for the summer, are in disarray as officials grapple with health and safety issues.
And the British Retail Consortium said bosses are frustrated by the lack of progress.
Meanwhile, insiders say efforts could be hamstrung as many people will be too scared of infection to go outside when lockdown does lift.
The Government is keen to start a reassurance campaign amid fears violence could flare at beauty spots if resentment towards visitors boils over.
Under current plans, the hospitality sector will not fully open until July 4 – Independence Day in the US – and only then if key tests on virus containment are met.
Under ministers’ three-step approach to easing lockdown, they are expected to give the go-ahead on June 1 to the phased reopening of non-essential shops.
They also want to restart sports and cultural events behind closed doors.
But a July 4 launch for the hospitality sector is too late to start this section of the economy, insiders argue.
Chancellor Rishi Sunak is said to be horrified by the cost of lockdown to the economy, which was £63.5billion in the red for April alone.
On a recent call, after Greece and Italy eased restrictions, Mr Sunak reportedly said: “This country can’t be the only place in the world where people can’t have a drink in the pub.”
Helen Dickinson, chief executive of the British Retail Consortium, said: “The retail CEOs I speak to are increasingly frustrated.
"They are keen to open, and able to do so safely. But there are preparations which cannot start without a go-ahead from Government.”
The Government was contacted for comment.
