Witchery chief Thomson makes plea to protect hospitality jobs
A LEADING Edinburgh restaurateur has underlined the importance of protecting the “whole ecosystem of jobs” connected to Scotland’s crisis-hit hospitality sector as he unveiled a coronavirus funding package to support his business.
James Thomson, who was awarded an OBE for services to hospitality and tourism in 2005, has sought to safeguard the future of Prestonfield House Hotel and The Witchery, on the Royal Mile, by securing a £2.5 million loan from his long-standing bank.
The deal comes after the awardwinning operator, who was just 20 when he founded The Witchery, closed his rooftop Tower Restaurant in central Edinburgh permanently in June, amid the difficulties arising from the coronavirus pandemic. The decision to not reopen the Tower Restaurant, located above the National Museum of Scotland, led to 37 redundancies.
However, in a statement issued yesterday, Mr Thomson’s company, Castlegate Investments, said it was “committed to retaining its remaining employees”.
Mr Thomson’s company, Castlegate Investments, re-opened Prestonfield House and The Witchery last month following their temporary closure in October. Its weddings and events business has been severely impacted by the pandemic.
The company has secured a coronavirus business interruption loan from Royal Bank of Scotland worth £2.5m to help steer it through the crisis, amid hopes that the roll-out of a Covid19 vaccine will help ensure the return some semblance of normality by spring.
Mr Thomson, who has owned Prestonfield House sicne 2003, said: “I began my business by taking out three loans, allowing me to establish The Witchery and purchase the freehold of the property.
“The company wouldn’t be where it is today without the support of banks, and I’m lucky to have built up a strong relationship with Stephen (Macgregor) at Royal Bank of Scotland over the years – it’s essential when you come up against a crisis like Covid.”
He added: “The hospitality sector supports a whole ecosystem of jobs, from taxi drivers to farmers, to joiners, gardeners, lawyers, accountants, cheesemakers, and breweries. It is vital that we do our utmost to keep things running, and this funding allows us to do that. I’m hopeful we can see a return to normality soon now that we have several vaccines in production.”
Mr Macgregor, relationship director at Royal Bank of Scotland, said: “It has been a difficult year for the hospitality sector as a whole, so it is positive to see landmark venues like The Witchery able to re-open their doors.
“Working with James has been terrific over the years, and we’ll continue to support his business and his staff where possible.”
Mr Thomson made an early impact in the hospitality industry, having begun his career in his teens when he catered for friends’ parties. He founded The Witchery aged 20 in 1978, beginning with just three staff. His business now employees hundreds of people.
Edinburgh remains in level three of Scotland’s lockdown system, meaning hospitality outlets can welcome customers indoors for the purchase of meals and non-alcoholic drinks.
Premises must close by 6pm.
Prior to last week’s level changes announced by First Minister Nicola Sturgeon, it had been widely expected that Edinburgh would have move down into level two. The decision to keep the city in level three left representatives of the hospitality industry bitterly disappointed.
The Scottish Beer & Pub Association declared that the “heart-breaking” decision would cost pubs more than £3m in lost turnover. Its analysis found only 92 pubs in the city will open in level three, compared with 277 had the city moved into level two.
Ms Sturgeon is next due to review Scotland’s lockdown levels today.
It is vital that we do our utmost to keep things running, and this funding allows us to do that