ScoMo to announce crisis support plan for NSW businesses

Scott Morrison says he is “close” to striking a deal with NSW to provide extra economic support, as the state’s Covid-19 outbreak worsens.

Scott Morrison says he is “pretty close” to striking a deal with NSW over economic crisis support, as the state’s Covid-19 outbreak threatens to spiral out of control.

“The treasuries of NSW and the Commonwealth have been working together. We’re expecting some final proposals to come up later this evening,” the Prime Minister told Sky News on Monday.

A formal announcement of the plan is expected on Tuesday.

Mr Morrison said the NSW and federal governments were able to “work through” the plan for NSW on Monday morning.

“We’ve been working closely with them – speaking constantly,” Mr Morrison said.

NSW announced 112 new Covid-19 cases on Monday morning, its biggest daily increase this year.

Last week, Mr Morrison waived the $10,000 liquid asset cap on the $325 and $500 emergency payments for NSW residents living in Covid-19 hot spots.

He said that the updated support plan would include more support for businesses.

“(During 2020) one of the most effective things – in addition to the income support – was the cashflow that was put in place,” he told Sky News.

“Already, we have income support … you’ve got to add to that the business cashflow support, which gives the business the ability to push through the weeks ahead.”

NSW recorded 112 new cases on Monday. Picture: Mark Kolbe/Getty Images

Labor leader Anthony Albanese has criticised Mr Morrison for not bringing back the JobKeeper scheme.

“If the circumstances are the same as when that support was provided, then why isn’t it being provided right now?” Mr Albanese said on Sunday.

Mr Morrison highlighted said that more than $10 billion was given to NSW businesses by the federal government last year.

“That was a big measure because it gave businesses a lot of confidence,” he said.