Titanic Hotel ‘at risk’ if pandemic restrictions ramped up
Any reintroduction of significant pandemic restrictions could put Belfast’s Titanic Hotel out of business, its directors have claimed.
In a company report for 2020 filed at Companies House, Harcourt Developments said such a move could “cast significant doubt on the entity’s ability to continue as a going concern”.
The Dublin based firm’s prudent” words of warning come as the latest financial results for the hotel showed the company made a loss of £204,165 during 2020 compared to a profit of £304,724 in 2019.
Sales also fell from £7.67m in 2019 to £3.02m in 2020, a spokesperson told the Belfast Telegraph.
The company report for 2020 added that since reopening, occupancy and turnover “have been recovering rapidly and it has achieved strong profitability levels primarily driven by demand from the UK and Ireland”.
A spokesperson for the hotel said comments on the venue’s future viability were “only in the context of if significant restrictions were reintroduced for a prolonged period of time”, adding: “We believe this comment would apply to the majority of hospitality businesses.”
They said: “The hotel was closed for over five months throughout the year and trade was also impacted due to social distancing requirements.
“Despite the restrictions, trade rebounded quickly throughout the year and the hotel was well placed to take advantage of the staycation market during high season.”
The Harcourt Collection, under the umbrella of Harcourt Developments, operates seven hotels and resorts across Ireland, the UK and the Caribbean.
As well as Titanic Belfast is also behind Donegal’s five-star Lough Eske Hotel and it is the name behind the Titanic Quarter, having pumped £600m into developments there with projections of investing £2bn by 2035.
Describing the pressures facing the hotel in 2020, the report added: “Like many businesses the company is exposed to the effects of the Covid-19 pandemic and has been subject to long periods of enforced closure both pre and post year end.
“The hotel was allowed to reopen in May 2021, although subject to ongoing restrictions. The directors have continued to modify company policies and procedures to help protect staff and customers throughout the pandemic.
“The company has been very reliant upon Government assistance such as the Coronavirus Job Retention Scheme to help mitigate the financial impact of the pandemic.”
