Revealed: the millions of government money loaned to rescue Gold Coast theme parks
THE Palaszczuk Government is providing more than $80 million in support packages to Gold Coast theme parks to keep their doors open.
Gold Coast
Don't miss out on the headlines from Gold Coast. Followed categories will be added to My News.
THE Palaszczuk Government is providing more than $80 million in support packages to Gold Coast theme parks to keep their doors open.
The Bulletin can reveal the financial funding to Dreamworld and Village Roadshow as part of the $1 billion Industry Support package.
Dreamworld says it will reopen next month with the park’s owners, in a statement to the Australian Stock Exchange, confirming it had received funding comprising a $66.9 million secured loan and $3 million for working capital and capital expenditure.
The Village Roadshow deal remains commercial-in-confidence due to other groups being involved.
But a government source told The Bulletin: “There is $70 million in interest free loans to Dreamworld. The figure for Village Roadshow, they required other backers as well. It’s rumoured to be in the tens of millions.”
The Bulletin understands the loans must be paid back in five years.
Premier Annastacia Palaszczuk told The Bulletin: “Our theme parks are huge employers on the Gold Coast. Thousands more are part of the economic supply chain that relies upon them. That is why this government is supporting business, jobs and our tourism industry.”
State Development Minister Kate Jones said the funding announcement was about supporting large and regionally significant employers to protect jobs hit by the virus as part of the Unite and Recover for Queensland jobs strategy.
“Our number one priority is still keeping Queenslanders safe. But I won’t turn a blind eye and do nothing while thousands of jobs are at risk,” she said.
“These locations (the theme parks) are massive drawcards employing thousands of Queenslanders and it’s vital they receive the boost they need to stay open.”
Ms Jones accused the federal Morrison Government of “ruthlessly walked away” from a multi-million-dollar support package in June.
“Tourism will be crucial to rebuilding the Gold Coast economy post-COVID-19. We need to ensure that our theme parks keep their doors open when we start to welcome tourists back to Queensland,” Ms Jones said.
“The Prime Minister slammed the door in the face of the Gold Coast theme parks — denying them any support at a time they need it most.
Village Roadshow CEO Clark Kirby said support from the Queensland Government had strengthened the ability of the company to continue to contribute to the Coast’s economic recovery. Staff who were stood down could return to work.
“It will also support flexibility and rapid restarting of operations and have positive effect on employment and skills development for the region,” he said.
Ardent Leisure CE Theme Parks John Osborne estimates COVID 19 closures led to about 800 of 900 their employees being stood down and all non-essential capital and operating expenditure was ceased.
“The Queensland government’s support allows us to plan reopening our parks, ensures we can work towards retaining and increasing staff and continue to have a positive impact on the economic development of the region.”
Originally published as Revealed: the millions of government money loaned to rescue Gold Coast theme parks