Business subsidy extended to Wellington quake-affected businesses
“The situation in Wellington is different from that in Kaikoura because a state of emergency hasn't been declared" – Joyce
The quake-affected business subsidy the government rolled out in Kaikoura has been extended to support some Wellington businesses which have been out of action because of the earthquake.
Economic Development Minister Steven Joyce says the government is expecting the package to apply to about a dozen businesses on Molesworth Street, 15-20 businesses in Tory Street, and a larger number of businesses in and around the Queensgate Mall in Lower Hutt
Mr Joyce, along with Social Development Minister Anne Tolley, says the assistance package will be available to businesses that cannot operate due to cordons put in place and are unable to move and operate anywhere else.
“The situation in Wellington is different from that in Kaikoura because a state of emergency hasn’t been declared, and the city overall is functioning well,” Mr Joyce says.
“However a small number of retail and hospitality businesses have been prevented from trading with the public for an extended period because of the need to demolish buildings.”
He says the package will only apply to businesses such as retail and hospitality which have been prevented from operating and will be unable to do so for some time.
The support subsidy will be at the same rate as for businesses in other areas. It will cover up to eight weeks at a rate of:
- $500 gross per week for a full-time employee ($4,000 per person);
- $300 gross per week for a part-time employee ($2,400 per person);
- It will not be subject to GST (i.e. so employees get a higher net subsidy), and it will apply only for the period from when the company is prevented from operating i.e. until the cordon is lifted.
Meanwhile, Mr Joyce says 59 businesses in Kaikoura have so far received the employee subsidy and payments have totalled $606,400.
“We have set aside $7.5 million for the total business support package. Joint Ministers will review the scheme before Christmas once more information is available. Further funds will be made available if required,” Mr Joyce says.
Jason Walls
Mon, 28 Nov 2016
Mon, 28 Nov 2016
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Business subsidy extended to Wellington quake-affected businesses
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