The Federal and State Governments have unveiled a major new support package for businesses across Queensland impacted by COVID-19, boosting relief to $600 million.
The 50-50 funding agreement will see further grants available on top of the $5000 grants already announced by the Queensland government.
The new scheme will operate on a tiered scale, with the amount on offer to depend on the size of the business.
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Sole-traders will also be included in the program after previously being ineligible under the state government scheme.
They will be eligible for a one-off grant of $1000 if they have suffered a 30 per cent fall in turnover.
Grants for businesses who have suffered a 30 per cent drop in turnover will be based on payroll size:
- A $5,000 one-off, top-up grant to small business with payroll of less than $1.3 million
- A $10,000 one-off, top-up grant to medium sized business with payroll between $1.3 million and $10 million
- A $25,000 one-off, top-up grant to large sized tourism and hospitality focused businesses with payroll of greater than $10 million.
Federal Treasurer Josh Frydenberg said this new business support package recognises that the impact of lockdowns is felt right across Australia.
“The Morrison Government recognises the impact that lockdowns across the country are having on businesses in Queensland,” Treasurer Frydenberg said.
“This package will help to keep businesses in business and Queenslanders in jobs and builds on the almost $30 billion in economic support the Morrison Government has provided Queensland households and businesses during the pandemic.”
“As we have done so throughout this crisis, we will continue to work with the Palaszczuk Government to ensure the Queensland economy continues to recover from the impact of COVID-19.”
Queensland Treasurer Cameron Dick said the agreement would boost support, not just for businesses that have been affected by recent lockdowns, but by those that continue to suffer because of lockdowns in other jurisdictions.
“We know that across Queensland, the lack of international and interstate visitors is affecting businesses every day, especially those in tourism and hospitality,” the Queensland Treasurer said.
“This dollar-for-dollar agreement with the Federal Government will see Queensland’s contribution rise to $300 million and vastly increase the scope of support available to businesses right across the state.”
“From Monday 16 August, our $5000 COVID-19 Business Support Grants program will be open to businesses across Queensland, but this agreement with the Federal Government is in addition to that and means that we will be able to extend our support even further.”
“It comes on top of the nearly $70 million in additional support and benefits for Queensland tourism and hospitality businesses that I announced earlier this week.”
“I want to thank Federal Treasurer Josh Frydenberg for his rapid response to the evolving impact that COVID-19 is having on businesses right across Queensland.”
Opposition Leader David Crisafulli has welcomed the announcement, saying “it’s about bloody time.”
“If rolling lockdowns are the new normal so too must be rolling support packages.,” Mr Crisafulli said.
“I said I would acknowledge positive actions when I see them. This is positive news for small and family businesses and their staff.
“I hope both levels of government can now accept how important it is that support frameworks are set up before lockdowns hit.”
Federal MP for McPherson Karen Andrews says it will provide much-needed help for Gold Coast businesses.
“I’ve spoken with businesses right across our community, including with Gold Coast Airport last week, hearing just how significant this challenge is,” Ms Andrews said.
“After speaking with my Cabinet colleagues in Canberra about these challenges, I’m pleased we’re able to announce this support and its particular focus on the tourism and hospitality sector which is just so important to the Gold Coast.
“I’m glad the Queensland Government has agreed to join with us in this important package for business.”