Coronavirus (COVID-19) business support: equality impact assessments

Wedding and Events Sector Top Up Fund

Footnote 27

Name of Grant:

Wedding and Events Sector Top Up fund

Policy Lead

Ewan Scott and Lucy Carmichael

Legal power used:

Section 126 and 127 of the Housing Grants, Construction and Regeneration Act 1996.

Grant Overview:

On 2 June 2021, the Cabinet Secretary for Finance and the Economy announced additional funding for businesses impacted by the decision to retain 14 local authorities in Protection Level 2 restrictions. This recognised that businesses in these areas were subject to restrictions for longer than the period set out in the revised Strategic Framework and that they were disadvantaged comparative to businesses in those areas that progressed along the Routemap as intended. As part of this, Ministers agreed to allocate up to £3.8 million specifically for the purposes support businesses in the supply chain of the wedding and events sectors due to a continued cap on the number of people able to attend wedding and events. This funding made payments of up to £1,250 to businesses that had previously received financial support through either the Events Industry Support Fund or the Scottish Wedding Industry Fund. The level award individual businesses received was dependent on pre-Covid turnover. Following a further announcement on 22 June 2021 stating that all local authorities would be kept at their current Protection Levels (PL) for an additional three week period from 28 June, awards were extended to businesses in areas subject to PL1 restrictions with top up payments made to businesses subject to PL2 restrictions.

The funding to businesses in the Events Sector was distributed by Event Scotland while those in the wedding sector received payment from the enterprise agencies.

Executive Summary:

The extraordinary measures taken by the Scottish Government to protect the right to life and right to health for the people of Scotland throughout the Covid-19 pandemic have placed unprecedented pressures on Scotland’s economy and business community. Health protection regulations introduced by the Scottish Government required certain businesses to close or placed specific restrictions on their operations at different times between March 2020 and August 2021. Many others were impacted by significant reductions in demand due to these restrictions or as a result of the introduction of travel restrictions.

^[28]Since the start of the pandemic, the Scottish Government has spent £4.3 billion in providing direct financial support to those businesses impacted by Covi^[29]d-19 restrictions and regulation.

As the impacts of restrictions were felt differently across the business community varying according to factors such as sector and location, a range of different funding streams were developed to target financial support towards specific sectors or types of business based on the challenges they were experiencing as a result of the pandemic. Given the unprecedented challenges presented by Covid-19 it was necessary to develop financial support schemes at pace to ensure that funds were distributed rapidly in the interests of preventing business closures and preserving jobs. The Wedding and Events Fund and derivative schemes were no exception to this although, as with other funds, we have maintained a commitment to review the delivery of these funds and to update policy where necessary.

The variable impact of the pandemic on different demographic groups in Scotland and the inequalities created by this are well understood. Throughout the pandemic the Scottish Government has taken measures to mitigate these inequalities where possible. In line with its responsibilities under the Public Sector Equality Duty as enshrined in the Equality Act 2010, in developing the Wedding and Events fund, the Scottish Government has considered how it can eliminate unlawful discrimination, advance equality of opportunity and foster good relations between people who share a protected characteristic and those who do not. In doing so, the Scottish Government drew on a wide range of sources to understand the impact of restrictions on businesses on those with protected characteristics including statistics published by both the Scottish Government and the Office of National Statistics as well as insights from the Annual Population Survey, the Department of Business, Enterprise and Industrial Strategy’s Longitudinal Small Business Survey, economic insight reports, as well as from organisations such as Close the Gap and the Social Metric Commission.

Every effort is made to ensure that Equality Impact Assessments (EQIA) are published timeously. However, the speed at which it has been necessary to ensure mechanisms are in place for supporting businesses impacted by Covid-19 restrictions has resulted in delays to completing EQIAs for a number of business support funds.

The Enterprise Agencies are expected to exercise their discretion in determining which businesses are eligible for the top up payments according to the guidance set out by the Scottish Government. The Scottish Government as a result, had limited scope with regards to the impact assessment of this fund, guidance was however, issued to the enterprise authorities to where these funds should be directed.

Key Findings - impact assessment of benefits and/or disadvantages.

The Covid-19 pandemic and the restrictions introduced to control the spread of the virus have had a profound impact on both the wedding and events sectors.

For much of the period between March 2020 and July 2021 there were legal restrictions on the numbers of people that were able to attend both weddings and events leading to a significant number of postponements and cancellations. The Scottish Wedding Industry Alliance estimates there are at least 14,500 businesses in Scotland operating in the wedding industry, with 5,500 for whom weddings represent their primary source of income. The wedding industry is a disparate sector composed of many different types of business that supply a particular type of service to weddings. Because of this it is not possible to conduct an assessment that looks across the wedding sector. Instead, this assessment considers those sub-sectors that collectively make up the wedding industry, where the data allows, to consider the likely impact of the Wedding and Events Sector Top Up Fund on groups with Protected Characteristics. In doing so, this assessment looks specifically at the following sub-sectors of the wedding industry:

• Baker and Flour Confectioners
• Bar Staff
• Florists
• Kitchen and Catering Assistants
• Tailors and Dressmakers

Events make a key contribution to Scotland’s economy, boost Scotland’s profile internationally and can enhance community engagement, empowerment and inclusion. Major events can act as a catalyst for investment in infrastructure and built environment. They can increase tourism in the long term due to strengthened brand and improved infrastructure.

#WeMakeEvents predict there are up to 1,000,000 people working in the live events sector. This includes almost 600,000 people working in the outdoor events industry and a further 115,000 working in the conference and exhibition industry. A large percentage of the workforce are highly-skilled freelancers. They work on a self-employed basis. It’s the nature of the job. The industry can be seasonal and there isn’t a constant stream of work.

Advancing Equality

By making additional ^[30]financial support available to businesses through the wedding and events sector support top up fund. The Scottish Government sought to mitigate the impact of restrictions introduced to control the transmission of Covid-19 on businesses to support them in remaining financially viable. This assessment finds that the approach to targeting funding as set out in the Guidance produced by the Scottish Government encouraged relevant enterprises to prioritise funding towards businesses that employ a disproportionately high number of people from among groups with protected characteristics including both young and old people, women andminority ethnic groups as. As the data below highlights, the Guidance also encouraged enterprise authorities to target some sectors which are associated with insecure employment and low pay and, in doing so, acted to mitigate inequality arising from socioeconomic deprivation.

Eliminating Discrimination

As distribution of this funding to businesses was entirely at the discretion of enterprise agencies, this assessment did not identify any opportunities for the Scottish Government to eliminate discrimination in the distribution of this funding.

Fostering Good Relations

Wedding and events sectors are important opportunities for social and community interaction providing an opportunity for engagement across and between groups with protected characteristics and helping to foster good relations between these groups. Wedding and events promote engagement between and across groups in a number of ways. As well being shared spaces and opportunities for cultural promotion, as highlighted above, there is a clustering of several different groups with protected characteristics in these sectors including young people, women, minority ethnic groups and those experiencing socioeconomic disadvantage. By sharing workplaces this promotes close interaction and engagement between these groups including those with intersecting protected characteristics. In providing financial support to businesses in these sectors to remain financially viable through the restrictions, the Scottish Government is therefore acting to foster good relations between groups with protected characteristics.

Age: Older People and Children and Young People

UK wide labour market data published by the ONS enables us to look at how restrictions on the wedding sectors are likely to have impacted on young people by assessing prevalence of employment in those sectors identified above by those aged between 16 and 24.

• Florists –12.5% of florists in UK are under the age of 25 compared to a labour market average for this age group of 12.3%
• Baker and flour confectioners – Similarly ONS data shows that 12.5% under the age of 25.
• Bar Stafff –Kitchen and Catering Assistants – ONS data reveals that 59% of bar staff are between the ages of 16 and 24 compared to a labour market average of 12.3% for this age group. 39% of kitchen and catering staff are between the ages of 16 and 24 compared to a labour market average for this groupf of 12.3%.

Approximately 51% of the events workforce is under the age of 35 compared to around 35% for Scotland’s workforce as a whole. A disproportionately young workforce could result in a heightened risk and impact (in terms of lost lifetime earnings) of unemployment in the industry. Annual Population Survey 2019. The Scottish Household Survey^[31] figures shows levels of cultural attendance, in 2018, were generally higher among the younger age groups, although there were differences in the types of cultural activities/events attended by younger and older age groups.

The data on both the wedding and events sector indicates that young people experience significant disadvantage as a result of the restrictions on these sectors both because they are more likely to be employed in the supply chain of these sectors and because they are more likely to attend events.

On older people, ONS data covering the UK as a whole reveals the following:

• ^[32]Florists – 26% of florists in UK are over the age of 55 compared to a labour market average for this age group of 20%
• Tailors and Dressmakers – 29% of tailors and dressmakers are over the age of 55 compared to a labour market average for this age group of 20%

Labour market statistics shows that older people also experience disadvantage as a result of the restrictions on the wedding sector due to the fact that they are over-represented as employees in some of those sub-sectors that make up the wedding industry although significantly less so than younger people.

Sex: Men and Women

UK wide labour market data published by the ONS enables us to look at how restrictions on the wedding sectors are likely to have impacted on women by assessing prevalence of female employment in those sectors identified above

• Florists – 95% of florists are women compared to a labour market average of 48.8%.
• Bar Staff – 50% of bar staff are women compared to a labour market average of 48.8%
• Baker and flour confectioners –56% baker and flour confectioners are are women compared to a labour market average of 48.8%
• Kitchen and Catering Assistants – 65% of kitchen and catering staff are women compared to a labour market average of 48.8%.
• Tailors and Dressmakers – 74% of tailors and dressmakers are women compared to a labour market average of 48.8%

The proportion of women working in the events industry is similar to the proportion in the overall workforce- 47% and 49% respectively. However, for Events Catering Activities, women make up 56% of the workforce and for Other Reservation Service and Related Activities they make up 73% of the workforce. Research has highlighted a disproportionate impact of Covid-19 on women.

An assessment of the impact of restrictions on the wedding and events sectors reveal that women experience a significant disproportionate impact due to the fact that they are significantly more likely to be employed in businesses that are in the supply chain of the wedding and events sectors

Race

UK wide labour market data published by the ONS enables us to look at how restrictions on the wedding sectors are likely to have impacted on women by assessing prevalence of female employment in those sectors identified above

• Florists – 5% are from a black or minority ethnic background compared to a labour market average for this group of 4%.
• Bar staff – 5% are from a black or minority ethnic background compared to a labour market average for this group of 4%.
• Baker and flour confectioners – 11% are from a black or minority ethnic background compared to a labour market average for this group of 4%.
• Kitchen and Catering Assistants – 15% of kitchen and catering assistants are from a black or minority ethnic background compared to a labour market average for this group of 4%.
• Tailors and dressmakers – 20% of tailors and dressmakers are from a black or minority ethnic background compared to a labour market average for this group of 4%.

An assessment of the impact of restrictions on the wedding and events sectors reveal that those from a black or minority ethnic group experience a significant disproportionate impact due to the fact that they are significantly more likely to be employed in businesses that are in the supply chain of the wedding and events sectors.

Disability

Specific data on business ownership and employment by sector is not available to fully assess the impact of the Weddings and Events on those with a disability.

26.6% of the accommodation and food services sector workforce had a long-term condition or illness in 2019, compared with 27.5% for Scotland overall. Given the close links of these sectors to the wedding sector, there is potential for this group to be disproportionately affected by the fund.

Religion and Belief

No discernible impact

Sexual Orientation

No discernible impact

Pregnancy and maternity

Events and wedding sector guidance sets out that individual health circumstances and protected characteristics should be considered and discussed with the workforce before prioritising who is asked to return to work and when.

Gender reassignment

No discernible impact

Marriage or Civil Partnership

No data available

Socio-economic disadvantage: any people ^[33] experiencing poverty

According to the Social Metrics Commission those employed prior to the crisis and already in the deepest forms of poverty have been most heavily impacted by the economic fallout of the pandemic. For example, compared to those more than 20% above the poverty line, those more than 50% below the poverty line have been more likely been furloughed, had reduced hours or wages, or lost their job.

ONS statistics state the average wage for the following occupations associated with the wedding sector?

• Florists – the average wage for a florist is £8.52 p/h
• Bar staff – the average wage for bar staff is £8.22 p/h
• Baker and flour confectioners – the average wage for a baker and flour confectioner is £9.76 p/h
• Kitchen and Catering Assistants – the average wage for a kitchen/catering assistant is £8.35 p/h
• Tailors and dressmakers – the average wage for a tailor and dressmaker is £8.21 p/h.

Figures from the Advisory, Conciliation and Arbitration Service (ACAS) state that the national living wage for persons 18-20 is £6.56, 21-22 is £8.36 p/h and for 23 and over, its £8.91 p/h. The figures above suggest those sectors identified, pay an average below, on par with the national living wage or just above, depending on age. This confirms that personnel working in those sectors were significantly affected by Covid restrictions and would suffer from some aspect of financial hardship.

We know that work does not fully protect against poverty, with 60% of adults in work being in poverty.

Around 78% of workers in the events sector earn at or above the Living Wage compared with 83% of all Scottish employees.^[34]

This fund will enable enterprise agencies to provide funding to businesses and that they continue to survive, thus keeping people in employment. This will have a positive impact on low income families. Reducing material deprivation arising from financial hardship. Enterprise agencies will know best how best to distribute funds within the sector.

Stakeholder Engagement:

We have engaged extensively with businesses and their representative organisations during the pandemic. In the year to March 2021 the Scottish Government had more than 1,270 ministerial engagements with business, including virtual conferences, roundtables and calls.

This Fund was developed following discussion between Cabinet Ministers, South of Scotland Enterprise and the newly established Scottish Wedding Alliance. Since the start of the pandemic, we have engaged directly with the hospitality sector on an ongoing basis, as well as trade unions and other relevant bodies. Among others, we have worked in partnership with the Scottish Licensed Trade Association, the Scottish Beer and Pub Association, UK Hospitality, the Scottish Hospitality Group, their industry legal advisers and the Scottish Trades Union Congress (STUC), Unite the Union and Prospect. The Event Industry Advisory Group. drawing upon feedback from applicants and two online surveys of the event industry supply chain conducted by VisitScotland’s Events Directorate.

This provided an opportunity to listen to stakeholder views, test ideas, share information about progress and discuss and address specific issues identified by sectors and individual businesses.

The Enterprise Agencies are expected to exercise their discretion in determining which

businesses are eligible for the top up payments according to the guidance set out by the Scottish Government. Given their responsibilities for managing public funds, it is for the Enterprise Agencies to ensure that procedures for administering the top up payments are suitably robust.

Mitigations -

As this assessment did not identify any opportunities for the Scottish Government to eliminate discrimination in the design and distribution of the events and wedding fund, no specific mitigations were identified as being required. Enterprise agencies had full discretion on where to distribute funds according to the needs of relevant businesses..

Next Steps (if any)

Looking forward, where any unintended negative impacts have been identified, we will seek to mitigate/eliminate these by setting out areas that will be subject to further consideration during the development of possible future business support funds. The findings of this EQIA will help to aid the design and introduction of possible future schemes, should resources become available.

Declaration and Publication

I have read the Equality Impact Assessment and I am satisfied that it represents a fair and reasonable view of the expected equality impact of the measures implemented.

Signed:

Date: 19/11/2021