The NSW government is providing targeted support for the state's accommodation sector to ease the pain of lost bookings over the recent winter school holiday period.
The cash-flow boosting funding will enable eligible accommodation premises that have lost room nights between June 25 and July 11, inclusive, to apply for grants up to $5000.
This $26 million initiative was critically important for accommodation providers with occupancy rates plummeting over the past month.
It is heartbreaking that this recent outbreak of COVID-19 occurred right on the cusp of the winter school holidays, meaning Sydneysiders, NSW residents and interstate visitors were not able to fulfil their travel plans across the state.
The sector has reported a dramatic decline in occupancy rates, with some Sydney properties reporting only two per cent occupancy in July 2021.
This program is for all eligible accommodation premises across NSW, as the current restrictions not only affect Greater Sydney operators but also those in regional NSW who lost their main source market from metropolitan Sydney or interstate.
There are more than 38,000 accommodation providers in NSW - from hotels and motels to holiday home rentals. I encourage all businesses to look at the Service NSW website for more information - including detailed eligibility criteria - as it's published in the coming weeks.
There will be two tiers of grants available to accommodation premises through the initiative:
- Tier 1: For accommodation premises that have had a cancellation of 10 room nights or less, there is a grant of $2000
- Tier 2: For accommodation premises that have had a cancellation of 11 room nights or more, there is a grant of $5000
To be eligible, businesses must be registered for GST and/or hold an ABN, be located in NSW and the accommodation premises must be an entire property, i.e. not holiday letting of a spare room in a residence.
Accommodation providers can apply for this grant and other support measures such as the COVID-19 Business Grant and business and employee support program.
Details of all support initiatives are available on the Service NSW website.