Let’s do a quick recap - the 2021-22 budget centred around the country’s recovery from the pandemic and kick-starting the economy. The 2022-23 edition is primed to further help promote economic growth. This includes investing in skilled workers and small businesses.
But how much of the budget is allocated to hospitality businesses and how can we benefit directly from it? Sit back and keep scrolling to learn more as there’s a lot to unpack. As we share the facts about the budget and what it means for hospo in Australia.
It’s not cheap to fill up at the moment and with the majority of venues still recovering from COVID staffing shortages and increases in produce prices due to the severe weather events experienced in NSW and SEQ. The Government has announced a new temporary, targeted and responsible cost of the living package.
Over the next two weeks, as petrol prices decrease, we can likely expect to see suppliers adjust their minimum order quantities (MOQ) or remove delivery charges if previously applied to cover the cost of fuel.
On a more personal note, you may be eligible for a one-off Cost of Living Tax Offset from 1 July. Depending upon your personal circumstances and eligibility the offset can reduce your tax payable to zero and is not a one-off payment.
While sales are growing, staffing is not and it’s not making being a venue owner any easier. The budget has proposed several specific changes, we’ve highlighted some below.
Small businesses will now only need to pay a 2% ‘uplift’ rate through the 2022-23 financial year rather than the current 10%. This means that you’ll have more money in your back pocket to spend here and now.
The government has increased the funding to extend Beyond Blue's NewAccess for Small Business Owners program. Meaning you can access free mental health support over the next two years.
The government has taken action to support the business growth in Australia’s alcoholic beverage sector by streamlining the admin and customs process as well as licensing requirements. This will hopefully lead to cheaper alcohol prices from wholesale suppliers.
As businesses work toward pre-pandemic trading levels, there is added pressure on the services sector, especially hospitality to fill the vacant roles of skilled workers. The government has introduced a number of new apprenticeship programmes and changes to current schemes including;
Overall the Federal Budget will greatly help small businesses including hospitality groups and supporters.
After more information?