Vic. reveals COVID support
The Victorian Government has put up a $534 million support package for businesses in lockdown.
The package includes $30 million for hospitality businesses, a $26 million mental health support package for small business, $40 million to help regional tourism businesses to cover refunds and marketing, $20 million for small businesses in Melbourne's CBD, and $5,000 grants available for 80,000 eligible businesses in metropolitan Melbourne and the Mitchell Shire.
Treasurer Tim Pallas says he has been advised that the state's unemployment rate could peak at 11 per cent, alongside a 14 per cent decline in gross state product relative to pre-pandemic forecasts.
“We are expecting that there will be literally billions of dollars written off the expected size of the Victorian economy,” he said.
“It will take some years before we see that level of economic activity come back.”
Mr Pallas said the funding should let businesses benefit from extended payroll tax deferral.
“Eligible businesses with payrolls up to $10 million can defer their liabilities for the first half of the 2020-21 financial year,” he said.
He said the Government is waiting “with baited breath” to see whether the Federal Government extends its JobKeeper payments.
More information is expected on July 23.