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Small Business Minister Stuart Nash, Employment Minister Willie Jackson and Finance Minister Grant Robertson will all be in today’s hot seat.
New Zealand will move to alert level 3 from 11.59pm on Monday, meaning five more days in lockdown than originally planned.
Watch the Epidemic Response Committee meeting here:
National Party leader Simon Bridges said he had “very significant” questions about the impact the extension will have on the economy.
Some in business sector had called for the lockdown to be lifted this week, while some health advocates wanted a two-week extension.
Prime Minister Jacinda Ardern said the decision took into account health, the economy and public sentiment.
Minister for Small Business Stuart Nash started today’s meeting, he said the government’s first priority was to mitigate the risks of the coronavirus and mitigate the economic risks.
He also wanted to make clear what the move to level 3 next week meant.
“Alert level 3 is not a return to pre-Covid days.
“Level 3 is really a waiting room or recovery room.”
Nash said there are no set rules for responding to a crisis of this kind but that our strong health system and relatively low government debt put the country in a good position.
“New Zealand is a trading nation … there was never a way to stop job losses and business impacts.”
He said it is important to pay invoices on time and keep cashflow moving.
The wage subsidy scheme has paid out to nearly 1.6m people at a cost of $10bn.
He said additional $4m is being put into helplines for businesses seeking support.
Stuart Nash was grilled by the committee chair Simon Bridges and National MP Todd McClay over what analysis the government had done on the impact of the lockdown on businesses.
Bridges asked how many businesses will go out of business because of the length of the lockdown with the additional level 3 lockdown length.
Nash didn’t answer Bridges’ question, but said the last thing the government wanted to do was go back into level 4.
He reiterated that if the country eliminates Covid-19 early then it will help the economy and small businesses in the long run.
Nash added that 400,000 and 500,000 workers will be able to go back to work on 28 April.
Bridges said what he took from Stuart Nash’s comments were that he he didn’t do the analysis required to help protect small businesses.
National MP Todd McClay said businesses are predicting revenue will fall 70-80 percent when they reopen after the 7-8 weeks of the lockdown.
McClay questioned Nash on why dairies are allowed to have a one in one out policy yet a small business like a florist can’t use the same method.
Nash said they can do that with a click and collect method if they can prove they’re practising safe physical distancing measures.
Simon Bridges said he had communication with a local baker in Tauranga who said while the wage subsidy scheme has been well received, it won’t make up for the loss of revenue they’re facing in the 7-8 weeks of lockdown.
Stuart Nash implored businesses like the bakery to move to a click and collect method, though he acknowledged they won’t have the same revenue levels they had before the lockdown.
ACT MP David Seymour asked if there is any chance between now and Tuesday 28 April that the prime minister will change her mind over whether New Zealand will move from level 4 lockdown to level 3.
Nash said that will not happen..
Source: rnz.co.nz Republished by arrangement.