Sacha Lord has responded to today's autumn Budget announcement, saying he is 'pleased' to see Rishi Sunak 'finally recognise the importance of hospitality'.
But the Parklife boss has warned operators are facing a three-year recovery period post-pandemic, and predicted that many more businesses will close once VAT rate returns to pre-Covid levels next spring.
He also criticised the Government's reported Plan B measures, which includes vaccine passports and a return to working from home, saying that it is 'teasing venues with uncertainty'.
The Chancellor has announced that business rates will temporarily be halved for retail, hospitality and leisure businesses.
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It means that for one year, businesses such as pubs, music venues, hotels, cinemas and gyms will be allowed to claim up to £110,000 in business rates relief.
Mr Sunak also outlined plans for an overhauled alcohol tax, which will mean cheaper ciders, beers and sparkling wines, but higher rates on stronger drinks - a 'common-sense principle' based on 'the stronger the drink, the higher the rate', he said.
Pubs will benefit from a draught relief too, cutting duty on draught beer and cider by five per cent, which will bring the price of a pint down by 3p.
He said it will be a 'long-term investment in British pubs of £100 million a year'.
Sacha Lord, Greater Manchester's night time economy adviser and Parklife boss, welcomed the steps that have been announced to support the hospitality sector - but he still had his criticisms.
He said: "Finally, the Chancellor has recognised the strength and importance of the hospitality sector.
"I am pleased to see the much-needed business rate discount and the introduction of tax reforms on alcohol, both of which will go far in helping hospitality operators, especially wet-led pubs, maintain a steadier footing while they recover.
"I am disappointed there was no reference to extending the current 12.5 per cent VAT rate for hospitality which will return to 20 per cent in April next year and see a surge of operators closing under the weight of the increase.
"Despite outward appearances and busy nightlife scenes across the UK, the sector is still struggling.
"Operators will take at least three years to recover from this pandemic and many remain in very precarious financial difficulties which could see them go under at any moment.
"Rises in inflation, supply chain issues and VAT increases are all burdens which are brutally impacting on an already beleaguered sector, and combined will result in venues closing, more staff being made redundant and tax bills left unpaid through bankruptcy.
"On top of this, reports of the impending Plan B measures are also affecting confidence.
"One thing we have continually asked for throughout this crisis is clarity and advanced notice. Venues are only just getting back to their feet, with the majority still in financial dire straits.
"To tease them with uncertainty over vaccine passports and the threat of working from home, which will undoubtedly see an exodus of customers for operators who rely on office workers for business, is yet another disservice to the sector.
"The hospitality industry is vital to the UK's recovery and growth, with nightlife alone representing £36.4billion to the economy pre pandemic.
"There is not one operator in the hospitality industry who hasn't been negatively impacted by the past 20 months, and we have seen more than 86,000 employees leave the industry.
"It's imperative now that the Government continues to support the sector as it recovers."
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