Businesses ‘devastated’ by hard NSW-Vic border
Border businesses warn new travel restrictions could devastate the local economy after Vic resurrected its hard border with NSW.
Border businesses are reeling after the Victorian government resurrected its hard border with NSW on Wednesday, with many warning that the new travel restrictions could be the final nail in the coffin after the region lost an estimated $2.3 billion in tourism revenue during the pandemic.
Since the Victorian government announced on Monday that cross border travel would only be permitted for essential reasons to stop the spread of Covid-19 from Sydney, hospitality and accommodation businesses have called for a long term border solution after many were hit with fresh waves of cancellations.
Albury Mayor Kevin Mack said his community had been trapped between “Mum and Dad fighting” for more than a year, describing the changing situation with interstate borders as an “ongoing debacle” that was having a huge effect on the local economy.
“We’re getting vaccinated and wearing our masks and we’re doing the right thing but because of what people are doing in capital cities in this country we’re being persecuted,” Mr Mack said.
“What people don’t understand is from a tourism visitation perspective the Murray River is worth $2.3 billion dollars, which is on par with the tourism economy of Tasmania …. and we’re just expected to move on.
“Businesses are on their knees and I don’t know how much more they can manage, mental health is compromised, it‘s a critical issue that isn’t going to go away.”
Murray River Council mayor Chris Bilkey said economic modelling conducted for the council showed that the region had lost $1 billion in revenue and 10,000 jobs in a year from April and the situation was only getting worse.
“Businesses here on the NSW side have been decimated,” Mr Bikley said. “The tourism industry is not just on its knees, it‘s flat on its back.”
“We’re fairly desperate, we recognise the attitude of the Victorian Premier, he wants to tighten that border up while the Sydney outbreak is still not under control and we have some sympathy with that view but it seems an overreach to penalise areas along the river that have had zero cases and don’t look like we’re going to have cases either.”
Murray Regional Tourism Board chief executive Mark Francis said it was estimated this hard border would cost the region about $100m a week, adding that both the Victorian and NSW governments needed to find a long-term solution.
“It’s having a layered effect on the local economy, as locals you might spend money on both sides of the river and the ripple effects are very long lasting,” he said.
“Governments need to work together to try and find a solution that we can put in place to make it sustainable, we can’t keep going like this, 42 weeks (of hard border) and counting is an enormous impact.”
Murray Downs Golf and Country Club chief executive Greg Roberts said almost all of the club’s 7000 members came from Victoria and would now be unable to drive the 5km from Swan Hill to access the facilities, costing the business upwards of $100,000.
Mr Roberts, who also runs two other venues, said he would open for at least a week in the hope of retaining permanent staff, though they would still be forced to stand down about 60 workers.
“Part of the reason we’ve managed the business to a point is because we’re debt free and we had the JobKeeper assistance last year, but there is no JobKeeper at the moment,” he said.
“All we’re doing is eroding our cash reserves and making it harder and harder to stay open.”
Restaurateur Wassim Saliba, who runs La Maison Cafe on the Victorian side of the border, said he was still considering if he would close his doors after he received a flurry of cancellations.
“NSW residents can’t come to us, but we are closer to Albury than Wodonga,” he said.
”It’s going to be a bit of a tough one, this one, we’re going to be suffering a lot more than before, we’ll be losing 60 per cent of our clients.”
Murray River Resort owner Steve Shipp estimated that this hard border would cost him more than $40,000 in turn over.
“It’s absolutely criminal what’s happened to all the businesses on the north side of the River, we all rely on Melbourne,” he said.
“We need to sort out where restrictions need to be and that means the government should enforce rings around the areas that are problems and let business get on with business.”
The Victorian government said it was aware that the hard border would “affect many border residents” but needed to keep the Delta strain at bay.
The NSW government said businesses could apply for support through the JobSaver program, with grants now available to businesses with an annual turnover of between $75,000 and $250m.
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