August is here and the wattle is in bloom, a sign that spring is around the corner. Australians will all be hoping for brighter days ahead, as Victoria re-enters restrictions with rising COVID-19 cases. A number of industries in Melbourne have shut their doors to ride Stage 4 restrictions.
The government has announced another phase of targeted financial support to help businesses through to the other side of the pandemic. We have been working with hundreds of businesses over the last few months to help them navigate and manage what support is available to them, and will continue to do so.
After postponing the Federal Budget until October, the government released a budget update on 23 July which gave an insight into the economic impact of COVID-19. It estimates a budget deficit of $85.8 billion in 2019-20 (4.3% of GDP) rising to $184.5 billion in 2020-21 (9.7% of GDP). The economy contracted an estimated 0.25% in 2019-20, with a further fall of 2.5% in 2020-21, the first consecutive annual falls in over 70 years.
We hope you enjoy this edition of our client update which covers:
Should you wish to investigate any of these matters further, please contact our office on 03 5443 0344.