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Adelaide City Council approves $7.5m package to revive struggling CBD hit hard by Omicron

A multi-million-dollar rescue package has been approved by Adelaide City Council to revive the CBD as traders continue to struggle with the impact of Omicron.

Steven Marshall reveals South Australia is on the 'cusp' of COVID-19 peak

Small businesses struggling with the virtual closure of the city by Omicron will be financially supported by Adelaide City Council.

Elected members have approved a comprehensive $7.5m package which includes grants of up to $1850 for businesses which lose at least one third of their income between last month and March.

The program is aimed at providing assistance to small businesses such as retailers, service providers, bars, cafes and restaurants.

Councillors opted to provide direct support rather than rate relief for property owners, with some larger landlords having multiple tenants running businesses.

Other initiatives passed at a special council meeting on Friday included a three-month citywide activation program, Adelaide Unleashed, free street parking during the festival season, the return of a popular stall sale in Rundle Mall, vouchers for lunch or dinner and expanded outdoor dining.

Adelaide Lord Mayor Sandy Verschoor has welcomed the $7.5m rescue package. Picture: Adelaide City Council
Adelaide Lord Mayor Sandy Verschoor has welcomed the $7.5m rescue package. Picture: Adelaide City Council

Welcoming the package’s approval, Lord Mayor Sandy Verschoor told the meeting the council was “here for city business, just as we are here for city residents”. “This is to help those small businesses, the dry cleaners, shoe repairers, hairdressers who have been impacted deeply,” she said.

Ms Verschoor said the announcement on Friday by Premier Steven Marshall that 25 per cent of city workers would be urged to return from next Thursday was a positive step towards reviving the CBD.

“I am waiting for it to be a 100 per cent return to work,” she said. “One in four people will go some way but we still need more people.”

Ms Verschoor praised councillors for working together with senior council staff to develop the 30 various components of the rescue package.

The package was expanded by the council’s dominant Team Adelaide in collaboration with other elected members, including the faction’s main rival, North Adelaide councillor Phillip Martin.

Cr Martin obtained support for a previous special meeting on Monday, which examined measures including rate relief, increased cleaning of the CBD and automation of pedestrian crossings.

A deserted Exchange Place in Adelaide as SA continues to attempt to slow the spread of Covid-19. Picture: NCA NewsWire / Emma Brasier
A deserted Exchange Place in Adelaide as SA continues to attempt to slow the spread of Covid-19. Picture: NCA NewsWire / Emma Brasier

Council chief executive Clare Mockler presented a 45-page report to councillors detailing how the CBD had been heavily hit since Mr Marshall last month urged office workers to work from home.

The report contained data on falling foot traffic in Rundle Mall and the East End, lower retail sales, significant drops in the use of public transport and declining numbers of people at hospitality and dining venues.

Seeking support for the revised package, Cr Mary Couros rejected earlier claims by Cr Martin at Monday’s meeting that the city had become a “ghost town” because people were frightened of catching Covid.

“It is important that we, as leaders, use the correct language to encourage people to come into the city,” she said. “We need to tell them that we are clean and doing all we can to enable everyone to walk around the city.

“We should be asking South Australians to come into the city, support their local businesses, support the community. It is not a ghost town. It is vibrant and alive.”

Small businesses will be offered cash grants to help them cope with the financial impact of Omicron. Picture: NCA NewsWire / Emma Brasier.
Small businesses will be offered cash grants to help them cope with the financial impact of Omicron. Picture: NCA NewsWire / Emma Brasier.

Former bookseller and government bureaucrat Greg Mackie said while the overall package would be welcomed by Hindley St traders who were “lost and lonely”, the lunch and dinner vouchers were a “terrific initiative”.

“Traders will absolutely love it,” he said.

Cr Alexander Hyde said it was a “comprehensive package” which would help city businesses, especially those with the potential to expand their outdoor activities.

“The outdoor activation grants could be used by any number of businesses,” he said.

“Hairdressers could start cutting hair on footpaths, accountants could set up tables and chairs to conduct business health checks.”

Ms Verschoor said after the meeting that it had been “absolutely heartbreaking” to see the impact Omicron was having on the city, particularly small businesses.

“Reduced foot traffic means trade has reduced substantially,” she said.

“No customers, means no income which is resulting in huge financial and mental stress for business owners and their staff.

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Original URL: https://www.adelaidenow.com.au/news/south-australia/adelaide-city-council-approves-75m-package-to-revive-struggling-cbd-hit-hard-by-omicron/news-story/ef21b7d7ecdfa2b244e0956c5396e07b