University of Southern Queensland researcher says Covid uncertainty has exacerbated problems facing CBD businesses

With Toowoomba’s CBD resembling a ghost town rather than a thriving business hub, Covid fears have exacerbated longstanding problems faced by the bricks-and-mortar businesses.

Covid may not have been the root cause of the woes facing many businesses in Toowoomba’s CBD, but the global pandemic has exacerbated the problems facing bricks and mortar retail and hospitality venues.

Like many main streets throughout Queensland, Toowoomba’s CBD businesses have reported a slow start to 2022, with a variety of factors contributing to the downturn including the lack of access to Covid testing, confusing mandate requirements, and the lack of clear and consistent messages from local and state authorities.

However University of Southern Queensland’s Rural Economies Centre of Excellence director, Associate Professor Ben Lyons, said many rural CBDs were under pressure before Covid, with the global pandemic exacerbating the problem.

“We’re in this stage of ‘let it go’ when it comes to Covid and that may have caught some people and businesses off-guard when for so long the message had been ‘shut it down’, so I think that has given everyone a bit of angst,” he said.

“However before Covid many rural CBDs were struggling, and what the pandemic has done has forced what was once considered experimental into becoming commonplace, such as the broad work from home trend seen across a variety of industries.

“What was uncertain before is very much uncertain now and unfortunately what we’re seeing is businesses in many CBDs suffer as a result of that.”

A/Prof Lyon said while some industries had been able to adapt to changes in technology and some retail sectors such as home improvement and white goods retailers had benefited during Covid, not every industry had benefited.

“The uncertainty surrounding the pandemic has been a real hindrance to businesses and it means they’re holding off on investing as they wait and see what happens,” he said.

“The first rule for a business is survival, so I think a lot of businesses are just trying to ride it out at the moment.”

It’s not all doom and gloom however.

A/Prof Lyon said with migration from overseas at almost record lows, now was a good time to be a school leaver or graduate.

“There’s a lot of gaps in the labour market, especially in a place like Toowoomba, so there’s never been a better time to be out looking for work,” he said.

“Things could be a lot worse economically.”

Originally published as University of Southern Queensland researcher says Covid uncertainty has exacerbated problems facing CBD businesses