While Victoria is expected to remain in lockdown until the start of October, the Victorian Government will be rolling out additional financial support for the state’s small and medium businesses as they continue to grapple with the sustained impacts of lockdown restrictions.
On Saturday 4th September the Victorian Premier announced the state’s largest business support boost package, which will be jointly funded by the Commonwealth and Victorian Government.
The boost will run primarily to businesses that are entitled to the Business Costs Assistance program. Over 175,000 Victorian businesses are expected to benefit from this four-week booster support package, which will run until the 30th September.
The program previously capped payments to businesses at $2,800 per week, however these September payments will be made at three tiers:
- Businesses with payrolls of no more than $650,000 will receive payments each week of $2,800;
- Businesses with payrolls of between $650,000 and $3 million will receive $5,600 per week; and
- Businesses with payrolls of between $3 million and $10 million will receive a weekly payment of $8,400.
Most payments will be instantly deposited automatically into businesses’ bank accounts.
The three-tiered system will offer a more targeted approach to business support across the state. Therefore, businesses with more employees will have greater support to maintain those numbers in the coming weeks. In the meantime, the Government will continue to stand by Victorian businesses and their workers.
Businesses such as bars, cafes and restaurants who are eligible will continue to receive the Licensed Hospitality Venue Fund payments of between $5,000 and $20,000 each week depending on venue capacity.
Venues that have a capacity of up to 99 patrons will receive $5,000, while those with a threshold of between 100 and 499 patrons will receive $10,000, and those with capacities of 500 or greater will receive payments of $20,000.
An Alpine Support Package will assist in sustaining resorts through the remainder of the season and September school holidays with an automatic top-up payment of between $10,000 and $40,000, dependant on the business location and whether they hire staff.
In the announcement the Victorian government also reminded eligible workers that they will continue to receive support under the COVID-19 Disaster Payment scheme, and so, too, will sole traders who are ineligible for any other payments.
The payment will offer individuals who have lost between 8 and 20 hours per week $450 each week, and $750 each week for those who have lost 20 hours and above. These payments are being processed through Services Australia.
Due to the changing circumstances, the Government came up with this package which is bigger than anything announced before. This is for all the dedicated business owners across the state and its workers to support the hardest-hit sectors and businesses to ensure they can keep up with their expenses.
Federal Treasurer Josh Frydenberg stated, “We will continue to support Victorians, with our ongoing economic assistance to meet the challenges of the Delta strain.”
Details about Victorian business support payments are available at business.vic.gov.au.
Should you have any queries in relation to these support payments please call our office on (03) 8393 1000.