Dr Ashley Bloomfield says the 15 new cases are made up of six confirmed cases and nine probable cases. Twelve people are in hospital, three are in ICU and two are in a critical condition.
COMMENT:
Moves to support small business are very welcome.
Small businesses currently have no cashflow, no idea of when they might reopen their doors, and no certainty about the sort of trading environment that might follow the Covid-19 lockdown.
Though the wage subsidy is supporting employees of many small businesses,it doesn't support the businesses themselves, and many are facing a very uncertain future.
This week's announcement of extra support for small businesses is timely because they desperately need it now: the question is whether it will be enough.
The extra support will be largely delivered through changes to the tax system.
In a key move, firms will be able to get cash refunds of previous tax payments.
The arrangement will let them offset current losses against the profits of a previous year and get a refund of the tax they paid during the profitable year.
This will be a significant help for many firms' cashflow problems — nationwide, it's estimated the measure could mean refunds and reduced tax bills of around $3 billion over two years.
Businesses will also get more flexibility around paying tax, with IRD empowered to push out the deadlines for tax returns and payments.
The announcement also included a change to the rules around commercial tenancies — landlords will face a longer period before being able to cancel a lease.
Further thought is also needed on how to address the current risk facing owners of commercial rental properties, many of them small businesses themselves.
The announcements also support business advice, which will be critical for businesses — along with capital and cashflow — as they come out of the crisis.
The announcements supplement other measures the Government has already taken, including the loan guarantee agreement that allows businesses to be assessed on a pre-crisis basis for loan eligibility, extending work visas, amending insolvency law, depreciation deductions and waived interest on some tax payments.
But will that be enough for businesses to stay alive during the post lockdown phase of recovery? This is an issue the BusinessNZ network will continue to bring to Government's attention. It's critical that our small businesses are supported through recovery, as they are the main driver of the economy.
Kirk Hope. Photo / Michael Craig
Other countries are currently considering various types of support for their small business sector and some of their initiatives might be appropriate for the New Zealand environment too.
For example, Australia has instituted direct grants to small businesses to support immediate cashflow needs.
Australia's rent relief scheme is also fairly even-handed — it requires commercial landlords to provide rental relief to tenants based on the tenant's decline in turnover, while requiring banks to support both landlords and tenants with flexibility during the lockdown.
Canada has instituted an interest-free loan scheme, which makes up to $40,000 available to qualifying small businesses.
And we can find other good ideas closer to home. The Small Business Council has recommended identifying regulations that are hardest on small businesses and suspending them until the lockdown is over. Another suggestion is to introduce technology credits, to help businesses buy the digital technology and software needed for e-commerce.
This would help many small businesses come out of lockdown well-prepared for 21st century trading.
It's important to remember that supporting small businesses is not just a responsibility of Government — it's up to all of us.
Larger businesses should be encouraged to take every step to involve small businesses in their own economic recovery operations, and to pay invoices to small businesses promptly.
And as customers and consumers, we should all buy from and support our local small businesses as soon as the lockdown is over.
This is the right time to focus on small businesses and their needs, their sustained growth will provide much needed jobs as we emerge and recover from Covid-19.
