Shoalhaven business representatives have welcomed a recently announced federal and NSW government COVID-19 financial support package.
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Some of the support will be offered in the form of payments for businesses with an annual turnover of between $75,000 and $50 million that can demonstrate a 30 per cent decline in turnover. These businesses will receive 40 per cent of their NSW payroll payments, at a minimum of $1,500 and a maximum of $10,000 per week.
The business grants which were announced previously by the NSW government have been increased and expanded to assist more businesses. Grants between $7,500 and $15,000 will be made available to eligible businesses with annual wages up to $10 million. The grant amounts will be as follows based on the decline in turnover experienced:
- $7,500 (increased from $5,000) for a decline of 30% or more.
- $10,500 (increased from $7,000) for a decline of 50% or more.
- $15,000 (increased from $10,000) for a decline of 70% or more.
Shoalhaven city council tourism manager and chair of Australian Regional Tourism Coralie Bell said she received feedback from the local tourism community who expressed great relief in knowing some support would become available.
"But the devil will be in the detail of what the application process looks like and the eligibility criteria, so [the tourism community is] eagerly awaiting to see more," she said.
With Glady Berejiklian's announcement that Sydney lockdown would be extended "at least" two more weeks, Mrs Bell said the worry for the industry was if the lockdown would continue to be extended.
She asked locals to look after their own by buying local goods and services.
Shoalhaven Business Chamber president Jemma Tribe said there seemed to be overwhelming relief for many local businesses on Facebook when the announcement was made, particularly those in the tourism industry who were hit hardest.
She said she hoped the COVID-19 Disaster payment increase will help local businesses hang on to the staff they have invested in even over the quieter winter period.
"Having those skills and those people trained up is crucial to the success of our businesses so they will be doing what they can to hang on to those people.
As part of the announcements, the federal government committed to a $500 to $600 increase to the COVID-19 Disaster payment for individuals if they have lost 20 hours or more of work a week, or $325 to $375 each a week if a person has lost between 8 and 20 hours of work.
The payment increase will start from week four of the Sydney lockdown and will apply to eligible businesses outside declared hotspots.
Mrs Tribe welcomed the rental assistance package where residential landlords who decrease rent for impacted tenants can apply for a grant of up to $1,500 or land tax reductions depending on their circumstances.
Commercial, retail and residential landlords who provide rental relief to financially distressed tenants may seek land tax relief up to 100 per cent of the 2021 land tax year liability. But, land tax relief can only equal the value of rent reductions.
"We saw through the lock downs last year some landlords were unwilling or unable to help out their tenants. Lots were very generous which was great to see but I think this land tax relief gives an added incentive to those landlords to really help out their financially distressed tenants," said Mrs Tribe.
"I think it's great that the government has listened to businesses, they've obviously been communicating [with businesses about] how difficult the last few weeks have been, and this will be a huge relief to many of them."
Kiama MP Gareth Ward said the financial support "will never be enough".
"Whilst any support is welcomed, there are so many businesses that are still going to find this period challenging."
"Our businesses, particularly tourism businesses, were hoping for a bumper season.
"They don't want support payments, they want to be rid of COVID so they can run their businesses and be successful without having to rely on any of these payments."
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