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Covid-19

Eat Out to Help Out: How does the New Scheme Work?

Rishi Sunak has just announced a new Eat Out to Help Out scheme to incentivise people to eat out, thereby supporting restaurants, pubs and other food businesses as well as their 1.8 million employees.

The scheme includes a 50% discount on food and non-alcoholic beverages from Monday to Wednesday throughout August 2020.

What is this new eat out scheme? Who is eligible to benefit? What does this mean for you as a food business?

Here are the answers to all those questions, and more.

What is the Eat Out to Help Out scheme?

The Eat Out to Help Out scheme has been set up as a response by the UK government to kick start reopening the food and beverage sector by directly offering customers a 50% discount on any eat-in meals (including non-alcoholic drinks) up to £10 per head.

Who is this for?

This eat out scheme is for businesses in the hospitality sector. The current crisis has hit the hospitality sector the hardest, with a drop in revenue of up to 80%, affecting approximately 8% of the UK’s workforce. Eat-out spending in May 2020 was down by 65% compared to the same time last year.

How do I know if I’m eligible?

If your business serves food and/or non-alcoholic beverages, then you are eligible.

How does the scheme work? 

  • 50% discount for customers

Customers will receive a 50% discount on any eat-in meals (including non-alcoholic drinks) up to £10 per head, from Mondays to Wednesdays throughout the month of August, starting 3rd August.

The discount includes children’s meals, saving a family of 4 up to £40.

  • Unlimited use

Each customer can enjoy up to £10 of discount per visit. However, customers can use the eat out scheme as much as they like during this 4-week time period and still benefit from the discount. In other words, people can enjoy three days in a row of half-price meals, if they wish.

  • Refunding businesses

Participating businesses will be refunded in full for the 50% discount.

How do I sign up to Eat Out to Help Out?

You can register on the government’s website from Monday 15th July.
Details on how to sign up will be published by the government on Saturday 13th July.

Important note: You MUST register your business BEFORE 1st August to participate in the scheme.

When does the discount apply?

The Eat Out to Help Out scheme discount applies for the entire month of August 2020 and applies to Mondays to Wednesdays only.

How quickly can I get the money back?

The government advises that when your business claims back the voucher discounts to HMRC, refunds will be issued within 5 working days.

How can I take orders easily and apply the discount?

At the start of lockdown, Pomelo Pay set out to help businesses with a free online ordering tool. Now we are working hard to extend the functionality so you can process, claim and account for the Eat Out to Help Out discount.

Speak to us now to find out how you can get set up.

Written by Barbara Fernandez