Scott Morrison to offer new cash relief to Sydneysiders facing extended lockdown

The PM is preparing to offer new cash Covid disaster relief assistance to families and more business support amid fears of a protracted lockdown in NSW.

Scott Morrison is preparing to offer new cash Covid disaster relief assistance to thousands of families and more business support amid fears of a protracted lockdown in NSW.

Government sources have confirmed to news.com.au that the additional household assistance payments will form part of a national policy, and will not be state specific.

But the new policy is likely to raise hackles among some in Victoria, which only had access to expanded disaster payments in the final weeks of the most recent lockdown in the state.

The Prime Minister is under pressure to announce a JobKeeper style assistance scheme amid fears thousands of jobs could be lost across the state as many businesses remain unable to trade.

News.com.au understands Mr Morrison has been personally calling NSW ministers and the Premier Gladys Berejiklian to work on a new assistance package as NSW prepares to unveil its own bailout plan in coming days.

Government sources have confirmed it is expected the Commonwealth will announce further assistance for NSW businesses in conjunction with NSW support, while also making support for individuals/households more broad.

Treasury officials have proposed a number of options that the Prime Minister is considering and is also working with experts today to consider expanded mental health support in the event of a protracted lockdown.

However, government sources stressed that it was not the case that the original JobKeeper scheme did not go to businesses to keep them afloat as some people have reported. It went to workers.

Last week, the PM announced more people in NSW will be eligible for an emergency Covid-19 payment as the state grapples with a worrying outbreak of the virus.

The federal government in June confirmed a new $325 or $500 emergency payment for some individuals living in Covid-19 hot spots lasting over a week, though recipients were obligated to prove they had less than $10,000 worth of assets – like a car – and cash savings.

But making his first public appearance since Friday, Prime Minister Scott Morrison confirmed that liquid assets requirement would be waived when lockdowns entered a third week.

“It doesn’t matter what funds you’ve got available to you in your bank account or what you can readily convert to cash,” Mr Morrison said.

On Sunday, Mr Albanese has demanded JobKeeper or something “very similar” be introduced to save NSW businesses from collapse during the extended lockdown.

NSW Treasurer Dominic Perrottet warned on Sunday restrictions would “very likely” be extended as the state struggles to contain the highly infectious Delta variant.

Speaking to Insiders on Sunday, Labor leader Anthony Albanese said the crisis was a “direct result of government inaction” as the vaccine rollout failed to meet initial estimates.

Mr Albanese warned more businesses across NSW would be on the brink of collapse as the lockdown dragged on, urging the federal government to “step up” to avert disaster.

Anthony Albanese has called for the return of JobKeeper, or something ‘very similar’, amid NSW’s lockdown. Picture: NCA NewsWire/Jono Searle

“These businesses do need support and workers need support. Workers are suffering, they are losing their jobs. Businesses are losing their profitability and some are losing their capacity to be able to continue,” he told Insiders.

The federal government’s JobKeeper wage subsidy scheme expired at the end of March, after Treasurer Josh Frydenberg steadfastly stared down calls to extend it.

But the federal government in June introduced a new $500 emergency payment for people trapped in Covid-19 hot spots, last week easing access requirements when a lockdown extended into a third week.

Mr Albanese argued JobKeeper had “kept employees and employees together” during the early stages of Covid-19, and demanded some form of new wage subsidy.

But he insisted Labor would be “constructive” rather than “prescriptive” over any new measures.

“If the government has another idea that would perform a similar function of keeping people in employment, then we would certainly be prepared to look at that,” he said.

Dominic Perrottet says an extension to Sydney’s lockdown is ‘very likely’. Picture: NCA NewsWire/Bianca De Marchi

“We will continue to be constructive, as we were during 2020. But the government can’t just sit back and wipe its hands of responsibility in Scott Morrison’s usual style.”

The federal government also unveiled its new Covid-19 advertising campaign, urging Australians to “arm themselves” against the virus.

The 30-second ad replaced a previous campaign, fronted by Dr Nick Coatsworth, which critics argued was unengaging.

The new campaign featured Australians’ arms with Band-Aids on them after receiving the jab, while a voiceover describing the vaccine as the “your best defence and our only way forward”.

Mr Albanese framed the new 30-second ad as underwhelming compared to highly successful campaigns against AIDS and drink-driving.

“I’m not sure that this cuts it, frankly … After 18 months, if this is the best they can do, they need to go back to the drawing board,” he said.

“My opponent is the advertising guy. But this is a government that has spent $1b advertising itself, telling Australians how good it is. Maybe they should translate some of that advertising into this.”