“I’m almost certain that by the next tourist season the share will be covered by others,” he said. “I don’t think the impact will be permanent or long term.”

Speaking to a local radio station, Georgiades said the precise cost has not been calculated yet.

“It appears to be substantial for some hotels, which were not paid for services rendered” during the summer, the minister said.

He reiterated that the government was prepared to discuss ways to soften the impact and a meeting with those involved is on the cards for the next few days.

However, Georgiades stressed that any assistance would be within the legal framework.

Hoteliers are asking for the unpaid invoices to be exempted from VAT and local authority taxes.

They have also asked for a 12-month extension to the repayment of debts to state authorities.

In bad news for hotel workers, hoteliers have already suggested freezing the collective agreement citing the losses suffered from the closure of the British company, thus risking industrial unrest.

Source: Cyprus Mail