State Labor supports NSW government business package, but feds also need to help

NSW Labor welcomed the NSW government’s announcement today to support businesses right across the state, but also said the federal coalition needed to help causal workers.

“The federal government should also provide immediate financial support for casual workers who are amongst the hardest hit by the current COVID-19 lockdown,” NSW Labor opposition leader Chris Minns said.

“More is needed from the federal government for casual workers and there’s no support for the most vulnerable in NSW who are struggling to pay the rent over the next fortnight.”

Mr Minns added that the NSW Government’s business support package will be judged as much on the speed of the rollout and results as it will on the announcement.

“Small business support grants of between $5000 and $10,000 will provide some relief during the COVID-19 lockdown period,” he said.

“The government should be working with businesses to ensure those that those receiving grants are working to retain where possible their employees, particularly casual workers.

“It is critical this support for business and families gets out the door now.

“And is also important that programs like Dine and Discover are reoriented to provide support to households and hospitality and retail businesses right now, when that extra support is needed most.”

Labor suggests:

Institute another $25 voucher for online takeaway and delivery for use during the current COVID-19 lockdown, and;

Allow the $25 ‘Discovery’ vouchers to be used for dining so families have the option to use them during the lockdown and help drive jobs with restaurants and cafes.

Support packages to help businesses across NSW

Businesses and people impacted by the current COVID-19 restrictions will be able to access support packages from the NSW government.

Along with the new grant packages of between $5,000 and $10,000 for small businesses, sole traders and not-for-profit, payroll tax for all employers has also been deferred and the Dine and Discover program extended till August 31 – with the ability for people to use the vouchers for takeaway delivered directly to their home by the venue itself.

NSW Premier Gladys Berejiklian said the centrepiece of the package was the small business support grants which will help businesses by alleviating cashflow constraints while trading is restricted. This can be used for business expenses such as rent, utilities and wages, for which no other government support is available.

“We always said we will do whatever it takes to support businesses and keep people in jobs during the pandemic and that is exactly what we are doing,” Ms Berejiklian said.

“The current restrictions are in place to protect people and keep the community safe, unfortunately businesses continue to incur costs such as rent, power and lost produce, and this will go some way to lessening that financial pain.”

Three different grant amounts will be available for small businesses:

$10,000 for a 70 per cent decline; $7,000 for a 50 per cent decline, and; $5,000 for a 30 per cent decline.

Deputy Premier John Barilaro said the new grants would be available across NSW.

“This latest outbreak has coincided with school holidays when a lot of regional areas were counting on more visitors to help boost local economies,” Mr Barilaro said.

“These grants will help many get through the winter, and just like after the bushfires, the floods and the first wave of COVID-19, the regions will lead NSW out the other side.”

Businesses will be able to apply for the grants through Service NSW from later in July and will need to show a decline in turnover across a minimum two-week period after the start of major restrictions on June 26.

NSW budget aimed at boosting jobs and the economy

The NSW coalition has released it 2021-22 budget and key points are jobs recovery and the economy.

After what has been touted the sharpest fall in nearly 80 years the NSW economy is bouncing back with 300,000 jobs added since the height of the pandemic in mid-2020.

The budget released by Treasurer Dominic Perrottet, is forecasting above trend economic growth of 3¼ per cent for 2021-22 and unemployment, currently at 5 per cent, falling to 4½ per cent by 2024-25.

Mr Perrottet highlighted improved economic conditions have contributed to the state’s strengthened operating position, with a return to surplus of $0.5 billion now forecast in 2024-25.

Job creation remains a key focus with a record $108.5 billion infrastructure investment helping supercharge the recovery.

Public sector workers will receive a wage increase of up to 2.5 per cent.

Premier Gladys Berejiklian said budget will include important cost savings measures for families a new $100 Learn to Swim voucher for children aged between three and six, and the Free Preschool program to continue until the end of 2022.

“This is a budget which supports and protects our families and communities through record investments in health, education and transport,” Ms Berejiklian said.

“The biggest infrastructure pipeline in Australia now tops $108.5 billion and continues to be the backbone of our recovery, with NSW now adding more jobs than were lost during the height of the pandemic.”

Ms Berejiklian said the government’s response to the pandemic was only possible with the fiscal growth of the past decade.

Mr Perrottet said the budget would continue to ensure NSW was COVID-safe and at the same time lock-in the recovery and drive economic reform.

“…[It] also includes more than $6 billion in rebates, concessions and cost of living measures which benefit households across NSW.

“Our support has been targeted to keep people safe and businesses in business, and that continues with programs such as $40 million to combat domestic violence and the $50 million CBD Friday voucher scheme.

“We are also investing millions into tourism, infrastructure and events right across NSW.”

Mr Perrottet said the NSW Government had released the 2021 Intergenerational Report and the NSW Productivity Commissioner’s Productivity White Paper immediately prior to the Budget as they helped chart direction for the state over the longer-term.

“This Budget takes NSW from recovery towards reform, with a focus on your family and your future,” Mr Perrottet said.

“The NSW Government’s nation-leading Electric Vehicle Strategy will see almost half a billion dollars invested in tax cuts and incentives for this future-focussed industry.

“Reforms we have already undertaken such as the establishment of the NSW Generations Fund in late 2018 will also support future generations – the NGF has achieved particularly strong returns over the past 12 months and has grown to $14.7 billion, providing more capacity to reduce debt in the future.

“This Budget continues to support our broad reform agenda for the planning and education systems as well as investing in our world leading digital technologies and providing tax relief.”