New support package announced for South Australian businesses
Grants of $1,000 and $3,000 effectively doubles cash support announced earlier
Additional $1,000 for Adelaide CBD businesses
South Australian businesses will be able to receive new cash grants of $1,000 or $3,000 in a new package designed to help businesses struggling to recover from the recent lockdown, with CBD-based businesses able to score an extra $1,000.
The South Australian COVID-19 Additional Business Support Grant package was jointly announced by Prime Minister Scott Morrison and Treasurer Josh Frydenberg in a statement today and will benefit 19,000 local South Australian businesses.
Under the new $400 million package, SA businesses with employees are eligible for $3,000 cash grants, while non-employing businesses and sole traders will receive $1,000.
To be eligible for the grants, businesses will have to prove turnover declines of 30 per cent or more over a fortnight as a result of the lockdown that began on 28 July.
Additionally, businesses based in Adelaide’s CBD that have a postcode of 5000 will be able to receive a further $1,000 cash grant designed to assist city-based businesses that have been hit hard by the shift to remote work during the lockdown.
Hospitality, performing art, tourism, gym and transport-related businesses will be able to benefit from the package, as well as artists and performers, according to the statement.
The new package will be jointly split between the Federal and SA State Government.
With both packages combined, this means an Adelaide CBD business that employs staff would be able to claim a total of $7,000. This comprises of $3,000 from the state-based grants announced in July; $3,000 in the new grant package announced today; and $1,000 for CBD businesses.
Major events that had to be cancelled or postponed because of the late July lockdowns will be able to receive a new Major Events Support Grant of up to $25,000. This will be funded by the South Australian Government.
“We need to protect jobs and support South Australian businesses to get through this difficult time so they can help drive our economic recovery as we plan our way out of this pandemic,” said Morrison.
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South Australia Premier Steven Marshall said the extra support would provide a buffer to the state economy as states battled to contain the highly contagious Delta variant of COVID-19.
“Our COVID recovery plan is focussed on standing shoulder-to-shoulder with small businesses as we navigate our way out of the global pandemic,” Marshall said.
“South Australians have done an incredible job of working together and now is the time to continue to pull together to support our hardworking small businesses who are the backbone of the state’s economy.”
“This new support package will provide extra cash grants for those businesses that continue to do it tough, to help them cover operating costs such as rent, wages and utilities and help them continue to trade through this period,” said SA Treasurer Rob Lucas.
“Already more than $26 million in cash grants has been paid to 9,036 businesses through this package – from bakeries, butchers and hairdressers to beauty salons, gyms and automotive repairers – as we work to get the money out the door and into the pockets of hardworking businesses as quickly as possible.”
Applications for the new package will open on Friday 13 August and close 17 October 2021.
The Federal Government has so far provided $40 million to South Australian residents through the COVID-19 Disaster Payments.