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Qld tourism injected with $70m grants

by Malavika Santhebennur11 minute read
Qld tourism injected with $70m grants

Tourism and hospitality businesses in Queensland that are facing significant hardship due to the COVID-19 crisis will receive further targeted support.

The Queensland and Commonwealth governments have reached an agreement to further target $70 million from the state and federal governments’ $600 million support package for the state’s major tourism and hospitality businesses that have continued to face hardship during the ongoing COVID-19 crisis.

Under the agreed package, $30 million will be targeted at supporting Queensland’s tourism attractions while $40 million will be used to provide a second round of grants to small, medium, and large employing tourism and hospitality businesses across the state that received an initial grant from the Tourism and Hospitality Sector Hardship program.

The Queensland government previously announced a joint federal state $40 million Tourism and Hospitality Sector Hardship program to deliver one-off grants of $15,000.

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Iconic tourism grants

Grants of up to $4 million will be made available in order for major tourism enterprises to remain viable and be ready to scale up when visitation returns.

Eligibility criteria for the grants will include:

  • Being key drivers of significant interstate and/or international tourism, as well as major employers
  • Nationally significant tourism operators and attractions, such as major theme parks and major reef tourism operators
  • Demonstrating a 50 per cent reduction in turnover and visitation over the three-month period from 1 July to 30 September 2021, compared to pre-COVID
  • Businesses to maintain their staff levels through the assistance period to the end of 2021

Second round of the Tourism and Hospitality Sector Hardship program

In addition, a second round of grants of $15,000, $25,000, and $50,000 will be made available for small, medium, and large employing businesses across the state that have seen decline in turnover of at least 70 per cent for at least seven consecutive days between 1 July and 30 September 2021.

However, major tourism enterprises that receive an iconic tourism grant will not be eligible to receive a further grant under the hardship program.

Commenting on the support package, federal Treasurer Josh Frydenberg said that the government has understood the significant impact of lockdowns and border closures on businesses, particularly in the tourism sector in Queensland.

He said: A successful, growing and vibrant Queensland tourism industry depends on all Australians doing the right thing and getting vaccinated.”

At the same time, Mr Frydenberg urged states to adhere to the agreed road map to ease restrictions.

“Governments must also hold up their end of the bargain and stick to the plan agreed at national cabinet that will see restrictions ease and our borders open up as we reach our vaccination targets of 70 to 80 per cent,” he said.

Queensland Treasurer Cameron Dick said that the funding would ensure that Queensland retains its position as an attractive holiday destination.

“Because we have successfully kept COVID out of our state, Queenslanders are free to travel within Queensland and support tourism businesses,” Mr Dick said.

“Our borders are also open to tourists from South Australia, Western Australia, Tasmania and the Northern Territory. However, with international border closures, and markets from New South Wales and Victoria closed off due to the ongoing COVID outbreaks, our tourism industry continues to suffer impacts from the pandemic.

“National Cabinet continues to consider evidence as to when travel can occur safely and more freely, and these grants will help the tourism industry retain strength until that time.”

The federal Minister for Trade, Tourism and Investment, Dan Tehan, said that “the best thing we can do for our tourism businesses is to get tourists back spending money”.

“The Morrison Government’s investment will provide financial support to these iconic Queensland tourism businesses to help ensure the industry is ready to rebound as our nation eases restrictions as our vaccination rates hit key milestones,” he said.

[Related: COVID SME grants extended to multiple states]

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Malavika Santhebennur

AUTHOR

Malavika Santhebennur is a content specialist at Momentum Media, focusing on mortgages and finance writing.

Before joining Momentum Media in 2019, Malavika held roles with Money Management and Benchmark Media, where she was writing about financial services.

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