Premier Peter Gutwein unveils $420m coronavirus stimulus package

UPDATED: The State Government has unveiled a $420m stimulus package it hopes will “ensure that our businesses, our workforce and our communities are well positioned for a successful recovery” from the coronavirus crisis.

CASH payments for people required to self-isolate and tax breaks for business headline the State Government’s $420 million coronavirus stimulus package.

Premier Peter Gutwein on Tuesday announced one-off emergency relief payments of $250 for individuals and up to $1000 for families who are required to self-isolate.

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The package was welcomed by business groups, but criticised by unions and the Greens for being heavy on economic help and light on community support and action to contain the virus.

“The health, safety and wellbeing of Tasmanians is our number one priority as we face the challenge of coronavirus, and we will continue to manage the risk of the virus based on the best and latest evidence and medical advice,” Mr Gutwein told parliament.

“We know this pandemic will also have very real and significant economic consequences, and our Government will do everything it can to manage and mitigate those impacts on businesses, jobs, families and the Tasmanian community.”

The Government will provide $1 million for charities; $2 million for GPs and pharmacists and $1 million for accommodation to help frontline workers live away from sick family members.

And there are grants of $1 million to mental health organisations and for emergency accommodation support.

Economic stimulus for business makes up the bulk of the spending.

Among the measures:

• $20 million worth of interest free loans and a four-month payroll tax holiday for businesses in the hospitality, tourism, seafood and export sectors.

• A three-month payroll tax holiday for other businesses.

• $50 million in interest free loans for local governments to upgrade tourism assets.

• Bringing forward $50 million of maintenance of government-owned buildings.

• $5000 grants for businesses taking on new apprentices or trainee.

• A ban on overseas travel for public servants.

Tasmanian Chamber of Commerce and Industry chief Michael Bailey said Premier Gutwein has listened to many of the ideas put forward at last week’s industry roundtable.

“Payroll tax relief, waiving certain business fees, supporting businesses to employ more people and requiring the State Government to pay its bills to local businesses within two weeks instead of four are all welcome measures to help support confidence and assist with business cashflows. No interest loans may also benefit many businesses,” he said.

Local Government Association president Christina Holmdahl welcomed the extra funding for councils.

“This fund provides the opportunity to make sure local infrastructure is ready when visitors start to return.”

Unions Tasmania secretary Jessica Munday said the package funded business and ignored workers.

“While representatives from industry and business were invited to stakeholder consultations, unions were not – and it shows here,” she said.

“A $250 ‘emergency’ relief payment will go little way towards covering a casual worker’s expenses.”

Greens leader Cassy O’Connor said the package was too much about the economy and not enough about the community and lacked “aggressive steps to limit the spread of disease”.