New research from industry body Cumbria Tourism has indicated that business confidence levels across the sector are "plummeting" - prompting renewed calls for a winter package to support the county’s tourism industry.

The research, published last week by Cumbria Tourism, the organisation representing tourism businesses in the county, highlighted serious concerns across the sector over the difficulties likely to be faced this winter as a result of the Covid-19 pandemic.

These concerns are likely to only increase following this week's Government announcement of tighter restrictions to help curb the rising spread of the virus.

Cumbria Tourism's latest research follows a petition launched by the body earlier this summer alongside Westmorland and Lonsdale MP Tim Farron.

The petition highlighted the growing need for greater financial support and has since received cross-Parliamentary backing from MPs both in Cumbria and country-wide, as well as the Lake District National Park, the Tourism Alliance and other visitor destinations across England.

More than 150 tourism-related businesses from across Cumbria took part in this survey, carried out in conjunction with the accountancy firm Lamont Pridmore.

Almost half of respondents stated they did not feel confident that their business can survive the next six months, and nearly two-thirds did not feel confident about their longer-term survival.

The survey also revealed that 10 per cent of tourism businesses are still unable to reopen in a viable way, and that average capacity per business is at 75 per cent of what it would normally be.

Average spend is also "significantly down", and staffing capacities have been reduced.

A total of 43 per cent of businesses are continuing to keep some staff on furlough, and 75 per cent of businesses have no plans to recruit, which is up from the figure of 50 per cent recorded a month ago.

Worryingly, 23 per cent of businesses plan redundancies. Management posts are set to be among the most commonly-cited jobs to go.

These results came before the Government’s latest Rule of Six announcement, which is said to be already impacting on bookings.

Following these revelations, Cumbria Tourism is joining with county MPs and the Lake District Hotel Association to renew its plea for urgent Government intervention to support jobs, businesses and customers through the challenging winter months.

The list of requests to Government includes a plea to reintroduce an "eat out to help out" style initiative across the winter to help sustain the tourism industry, as well as a temporary extension to existing support schemes.

Gill Haigh, managing director of Cumbria Tourism, described the coming months as a "critical time" for the industry.

"The closures between March and July wiped more than £1.5bn from the county’s economy and saw parts of Cumbria identified as the ‘England’s furlough capital’", she said.

“Although most businesses were able to start reopening and welcome back staycationers from July 4 onwards, the results show there has been no automatic bounce back. Even before last week’s announcement regarding the rule of six and the implications this has for the hospitality sector and its customers, business confidence was plummeting.

“A number of crucial markets remain decimated, including international visitors, group travel, corporate, large parties, events and weddings.

"We had hoped to see some relaxation of corporate and possibly other restrictions, but this has now been paused. In July, serviced occupancy levels were on average just half of what they should be at one of the busiest times of the year.

"We need continued Government intervention to support businesses and Cumbria Tourism will continue to make the county’s voice heard at the highest levels as we continue to call for urgent action.”

Dr Neil Hudson, MP for Penrith and The Border, has echoed these concerns.

“The support that the Government has provided through this crisis has been phenomenal and a lifeline for many businesses. I am pleased that the Government has responded to our calls for targeted support for the tourist and hospitality Sectors such as the Discretionary Grants, the VAT reduction and the hugely successful eat out to help out scheme," he said.

"Whilst I acknowledge that many of the schemes cannot continue, I am working with colleagues across the House to urge the Government to keep these sectors, which may be slower to recover, under review, with additional targeted government support provided if necessary to help them through to the next full season.”

Ben Mayou, chairman of the Lake District Hotel Association, added: “Government initiatives such as furlough, grants, loans, VAT reductions and the eat out to help out scheme have all been welcomed by the industry. Without them, many more jobs would have been lost. But as the main season now recedes and we head towards winter – generally a loss-making time of year for the industry – business confidence is plummeting.

"With no way of making up the income lost and the furlough scheme due to end on 31 October, we agree with the findings from Cumbria Tourism’s research that business survival confidence has worsened and back calls for this package of continued support.”