New support for businesses under lockdown broadly welcomed

“This latest Commonwealth commitment is in line with our calls for a clear national framework that identifies what support will be available as lockdowns and restrictions are introduced,” Australian Small Business and Family Enterprise Ombudsman Bruce Billson said on Wednesday.

Lockdowns have been devastating for many business owners, for whom the grants represent a life raft. Beginning next week, small businesses that have seen a 30 per cent loss in revenue will receive 40 per cent of their payroll payments (amounting to between $1,500 and $10,000 per week) as long as they commit to retaining staff. 

New funding is also available for sole traders who have experienced at least a 30 per cent drop in turnover. They are now able to apply for a grant of $1,000 per week.

Mr Bilson noted that the peace of mind in being able to rely on a certain inflow of cash each week would empower business owners to map a path through the current hardship. 

“Small and family businesses that have an understanding of what government support can be counted on when public health measures come into effect, are given a greater opportunity to plan and navigate their business through the difficult period,” Mr Bilson said.

He noted that it’s not only government entities that can pitch in to help Australian industries. 

“Of course the small business community needs support from the private sector as well and the banks have led with the re-activation of measures to help small businesses with loan repayments,” Mr Bilson said. “It is critical that other service providers and suppliers, such as landlords and utility companies, follow suit.”

Support for tax agents

The Tax Practitioners Board on Wednesday reaffirmed its support for the tax agents, BAS agents and financial advisers under its purview, confirming in a statement the extension of some of its temporary concessions.

Those include extending the temporary revised approach to what activities will meet their CPE requirements, and expanding the exemption to complete annual declarations.  

Both Mr Bilson and the TPB asked people to be aware of the mental toll this lockdown and its financial implications might have on their wellbeing, urging anyone needing help to reach out to organisations such as Beyond Blue or Head to Health.

“There is no doubt that lockdowns and trading restrictions put small and family businesses under enormous pressure,” Mr Bilson said.