The Victorian Government today announced it was entering a five day lockdown.
Earlier today the Commonwealth Government announced proposed changes to the way economic support will be delivered to individuals and businesses, in partnership with States and Territories, in areas that are subject to a Commonwealth Hotspot declaration and to State or Territory lockdown restrictions.
This evening the Prime Minister and Premier of Victoria, supported by their Treasurers, agreed to these new arrangements with a further enhancement that where a lockdown has been imposed by a State or Territory Government for a period of less than seven days, (as has been announced by the Victorian Government), the Commonwealth will provide income support through the COVID-19 Disaster Payment as follows:
- A Commonwealth Hotspot has been declared by the Commonwealth Chief Medical Officer.
- The Commonwealth Government will provide income support for those who work or live in the areas declared as a Commonwealth Hotspot. The provision of income support outside of these areas will be provided where requested and at the cost of the State or Territory Government.
- Individuals will be eligible for the COVID-19 Disaster Payment if they have lost between 8 and less than 20 hours of work for a payment of $375, and for 20 or more hours of work for a payment of $600, during the period of the lockdown. There will be no liquid assets test applied to eligibility for these payments.
- A commitment has been made by the State or Territory Government to provide significant economic support, for the same lockdown period, to ensure cost sharing between the Commonwealth and the State or Territory Government.
The outcome of this arrangement will have the following implications for the statewide lockdown announced by the Premier of Victoria effective at 11.59pm this evening and the declaration by the Commonwealth Chief Medical Officer of Greater Melbourne, Moorabool Shire, City of Greater Geelong, Borough of Queenscliff and Surf Coast Shire as a COVID-19 Hotspot for the purposes of Commonwealth support, for an initial period of 5 days from 11.59pm 15 July 2021 until 11.59pm 20 July 2021.
Eligibility for the COVID-19 Disaster Payment will be made available for the period of the Victorian lockdown (five days) as it applies to each area of the State.
The Commonwealth will fund the payment for those who live and/or work in the areas declared as a Commonwealth Hotspot and the State Government will fund payments provided to the balance of the State.
Payments will be made in arrears on application to Services Australia 7 days after the commencement of the lockdown (that is from Friday 23 July 2021).
Payments of $600 will be made to Individuals that lose 20 hours or more of work during the period of the lockdown (the next five days).
Payments of $375 will be made to Individuals that lose between 8 and up to 20 hours of work during the period of the lockdown (the next five days).
No liquid assets test will be applied to the payment at any time.
Information about the COVID-19 Disaster Payment can be found on the Services Australia website.
In addition, the Victorian Government has agreed to provide significant additional economic support to businesses, from day one of this lockdown period, satisfying the Commonwealth’s cost sharing requirements for this arrangement.
Should the Victorian lockdown be extended, the additional features of the upgraded and revised economic support arrangements proposed by the Commonwealth will be activated by agreement.
The additional support being announced today comes on top of the $45.4 billion of Commonwealth support that has already been delivered to Victoria.