US Government to Lose Billions of Tax Revenue as Las Vegas and New York Close Up
The US government is expected to lose billions over the closure of popular entertainment and tourist venues, as the nation prepares to limit the risk of coronavirus spreading.
President Trump called for the closure of all non-essential outlets including bars, restaurants, hotels, casinos and any commercial places of gathering – with sport events already postponed a week prior.
The duration is a two-week lockdown, designed to keep people indoors and stop the risk of the outbreak, which has already claimed thousands of lives.
New York City has reported that it will lose around $3.2 billion in tax revenue during this time. Meanwhile, Las Vegas has closed all hotels and casinos on the strip including the Bellagio, MGM and Wynn Resorts – where lost revenues are not confirmed, but likely to be significant.
This is likely to have a further impact on neighboring shops, restaurants and also conventions, including the Recon convention in Vegas which attracts thousands each year.
A guest at a convention at MGM’s Mirage was tested positive for coronavirus last week, and the company confirmed that several of its employees had come down with the virus days later.
This news will come as come as a blow to holidaymakers, travel companies, employers and investors. Staff members may still be expected to get non-statutory pay, which will be a further blow to business managers and owners.
Whilst the two-week lockdown is expected to reduce the risk of the coronavirus spreading, this is not confirmed, with some experts stating that households and businesses may need several months to be truly safe.
A number of new casinos in 2020 were expected to be completed in Las Vegas including The Circa and The Drew, which will likely be prolonged until 2021.
Many players taking part in poker and other competitive tournaments will be able to continue online, with a number of casinos offering the full online experience including 888, PokerStars and Casino Viking.
Some experts claim that the virus cannot withstand high temperatures, but Las Vegas which is known for its balmy weather has still seen a number of cases, however this has not been helped by the dense population and regular flow of tourists.