Government opens Covid-19 resurgence support to help businesses cover costs

12:58, Aug 24 2021
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Prime Minister Jacinda Ardern extends level 4 lockdown in New Zealand.

Businesses affected by New Zealand’s Covid-19 lockdown can now apply for a one-off Government payment to help cover costs.

Finance Minister Grant Robertson said the Covid-19 Resurgence Support Payment (RSP) was intended to help businesses with costs such as rent or fixed costs during higher alert levels.

To qualify applicants must experience at least a 30 per cent decline in revenue over seven days as a result of the increase in alert levels, as well as other eligibility criteria.

“The one-off payment is available to any business in New Zealand that meets the criteria. Businesses can apply for the RSP at the same time as the wage subsidy scheme,” Robertson said.

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So far about $484.4 million in wage subsidies had been paid out, with 127,935 businesses having their wage subsidy scheme applications approved.

The RSP payment includes a core per business rate of $1500, plus $400 per employee, up to a total of 50 full-time staff which is a maximum payment of $21,500.

Businesses with more than 50 full time staff can still apply but cannot get more than the maximum payment.

The Covid-19 Resurgence Support Payment is available in addition to the wage subsidy.
LAWRENCE SMITH/Stuff
The Covid-19 Resurgence Support Payment is available in addition to the wage subsidy.

The scheme will be available until all of New Zealand returns to alert level 1 for one month.

“Economic activity is back to pre-Covid levels thanks to our strong public health response. These principles will continue to guide our approach to supporting the economy at this challenging time,” Robertson said.

Minister of Revenue David Parker said the Small Business Cashflow Scheme was also available to support small to medium businesses and organisations struggling with a loss of actual revenue due to Covid-19 where a business had not accessed this before or where the initial payment had been repaid.

Also available are the Covid-19 Leave Support Scheme (LSS), which is to help businesses pay workers who have been told to self-isolate and can’t work from home as well as the COVID-19 Short-Term Absence Payment for workers who have to stay at home while waiting for a Covid-19 test result and can’t work from home.

More information on Covid-19 business support measures, including full eligibility criteria, can be found at the following websites: