The Treasury has so far held off offering more financial support for hospitality, with sources saying a package was dependent on further Covid-19 restrictions.
Mr Johnson told broadcasters on Monday that there are “packages of funding already in place” for pubs and restaurants, adding that support would remain under review and he understood “how tough it must be” for those in the hospitality industry.
Industry groups including UK Hospitality and the Federation of Small Businesses will make a fresh plea for help on Tuesday in a call with Kwasi Kwarteng, the Business Secretary.
Ms Nicholls is also understood to have written to senior figures in Government on Monday, warning that the situation has worsened since last Wednesday.
She said uncertainty over future measures is having an effect on bookings and confidence, and added: “If this trading period is to be affected, it will be vital to give businesses as much notice as practically possible to avoid unnecessary spend and costs building up.”
The Society of Independent Brewers on Monday became the latest industry group to pile pressure on Rishi Sunak to come out with an aid package, saying: “We urgently need to see an appearance from the Chancellor and for him to deliver new support for the beer and pubs sector.”
It comes as economists warned omicron risks sending the economy into reverse, even without formal lockdown measures.
Samuel Tombs, of Pantheon Macroeconomics, said the economy will be at least 1pc smaller in January than in November as more people stay at home, even if no further restrictions are introduced.
GDP in the third quarter of 2021 stood at almost £200bn per month, meaning a drop of 1pc equates to around £2bn of lost output.
Reports suggest the prime minister is leaning towards bringing in new rules after Christmas which could see restaurants and pubs once again blocked from serving customers indoors, and people told to sit in groups no larger than six.
Patrick Dardis, chief executive of pub chain Young’s, said these measures would “devastate the entire hospitality and brewing sector”, and result in thousands of businesses closing permanently.
The comments were echoed by the British Beer & Pub Association, which said: “Outdoor-only trading, in the depths of winter, will completely obliterate any hope of trading for most pubs – many of whom simply do not have usable outside space.
“Even for those pubs that do have outdoor space, it is not enough to trade viably or break even.”
Nisha Katona, who runs the Mowgli Street Food restaurants, said the industry is already struggling with the current messaging from the Government for people to be cautious.
She said: “The message from the government is don’t eat out but there is no financial support by way of furlough to support restaurants that must close because they are empty or because their staff are testing positive.”
