Monday, 9 August 2021
The South Australian Business Chamber welcomes the new cash support grants for businesses under financial stress, announced jointly by the State and Federal Government this morning.
“We welcome the Government providing industry-specific support for South Australian businesses that are struggling as a result of the most recent lockdown and ongoing COVID-19 restrictions”, said CEO of the South Australian Business Chamber, Martin Haese.
The new support package consists of $3,000 cash grants for businesses ($1,000 for sole traders) in eligible industry sectors that have seen a decline of 30% or more due to the COVID-19 restrictions imposed on 28 July. Importantly, it helps micro businesses and includes an additional $1,000 for CBD businesses.
“The Government has listened to the concerns of the South Australian Business Chamber and South Australian industry groups about the ongoing financial burden associated with continuing restrictions, including those in the events sector,” said Mr Haese.
“The $40 million in funding will give a welcome financial boost to the vast majority of small businesses impacted by ongoing restrictions, although medium sized businesses have relayed the need for scalable support”.
“We’re also pleased that the Government has launched a Major Events Support Grant, recognising the extraordinary impact lockdowns and associated restrictions have had on the events industry – this is something that we have strongly advocated for over the past 9 months”.
“While the financial support for the majority of impacted businesses is definitely welcome, more scalable arrangements are needed to support medium to larger businesses should existing restrictions remain in place”.
The South Australian Business Chamber continues to advocate for lifting density restrictions on hospitality and other impacted businesses as soon as practicable.
“The Transition Committee meets tomorrow and we call on the Government to carefully consider any reason why South Australia cannot return to 75% occupancy for hospitality businesses, particularly given the current mask mandate and strong QR code compliance,” explained Haese.
“Hospitality businesses will continue to struggle financially – irrespective of these new cash support grants – until we let them open their doors to more patrons. Quite simply, many restaurants, cafes, pubs and bars are economically unviable when they’re operating at the current 50% occupancy’.
“This is particularly important as we start to see the first signs of Spring and warmer weather that is conducive to increased hospitality trade”.
