Covid-19 News Updates

Great news as regional Victoria set to open up

Victorian Premier Daniel Andrews has heralded a "day of hope and optimism" today after regional Victoria met the requirements to enter the next stage in the roadmap to recovery from COVID-19.

Regional Victoria will enter a Third Step easing of restrictions from midnight tomorrow night, including no restrictions on leaving home, the reopening of all retail to include services such as beauty and tattooing, and the reopening of hospitality venues for mostly outdoor seated service only.

However, indoor service venues can be open with a cap of 10 seated patrons per space subject to a one per 4sqm density rule, with a maximum of two subspaces. This means larger venues will be able to have up to 20 people inside.

Meanwhile, there will be a cap of 50 people on outdoor hospitality venues.

Groups of up to 10 will be able to gather outdoors, household bubbles of up to five people will be allowed, and schools will return to on-site learning from Term 4 with safety measures.

The state government was able to take these steps as the average daily number of cases in the last fortnight has been below five, and there have been no new cases in that time with an unknown source.

"Regional Victoria will be opening up in just the next 24 hours or so," Premier Andrews said.

"It's a massive thing. It is such good news - I am so, so pleased and proud of every single regional Victorian who has stayed the course, followed the rules, got tested. They've done an amazing job.

"I know it hasn't been easy because there have been many communities where to the best of our knowledge there has not been the virus."

He said there was no greater evidence than today's news to the people of Melbourne that strategies to get numbers low are possible.

"It is essential. You have no chance of keeping numbers low once you open up if you don't first get them low via the restrictions and the rules we have in place," he said.

The Premier explained restrictions on visitors to businesses would remain, including limits on the number of people, physical distancing and the wearing of masks.

For real estate services outdoor options will be permitted with a limit of 10 people, all community sport will also return for children, and non-contact sport will be allowed for adults.

Gathering limits for weddings will increase to 10 people, funerals will be allowed to have 20 mourners, and religious gatherings will have a limit of 10 people plus one faith leader.

"Tourist accommodation will open for regional Victorians in regional Victoria for them to travel and holiday within regional Victoria," Premier Andrews said.

"Every single business across regional Victoria will be required to have a COVID-safe plan, and those plans will be enforced from 28 September.

Photo: Visit Victoria

Updated at 11:11am AEST on 15 September 2020.

Qantas mulls HQ move as downsizing rolls on

National carrier Qantas (ASX: QAN) has announced further cost cuts to stay airborne during the pandemic, flagging plans to potentially exit its 49,000sqm Mascot, Sydney headquarters as well as Jetstar's head office in Collingwood, Melbourne.

Following last month's announcement the airline would outsource ground staff jobs to save $100 million, the group now aims to reduce its current $40 million annual spend on leased office space.

The company is undertaking a three-month property review of its corporate offices and non-aviation locations, which may result in several facilities being brought together in one state.

Qantas' management claims the review flows from job losses already announced and the need for more efficiencies, although there is no intention to offshore facilities as a result of the review.

Some aviation facilities will also be considered for possible relocation, such as flight simulator centres currently in Sydney and Melbourne as well as Qantas' heavy maintenance facilities in Brisbane; particularly if an opportunity arises to bring some or all of these facilities under the one roof in Australia.

Qantas Group chief financial officer Vanessa Hudson says like most airlines, the ongoing impact of COVID-19 means Qantas will be a much smaller company for a while.

"We're looking right across the organisation for efficiencies, including our $40 million annual spend on leased office space," she says.

"As well as simply rightsizing the amount of space we have, there are opportunities to consolidate some facilities and unlock economies of scale. For instance, we could co-locate the Qantas and Jetstar head offices in a single place rather than splitting them across Sydney and Melbourne.

"Most of our activities and facilities are anchored to the airports we fly to, but anything that can reasonably move without impacting our operations or customers is on the table as part of this review. We'll also be making the new Western Sydney Airport  part of our thinking, given the opportunity this greenfield project represents."

She claims the review will help set up Qantas for the long term with recovery from the COVID-19 crisis, and the group is "open minded" about the outcome.

"It's possible that our HQ stays where it is but becomes a lot smaller, and other facilities consolidate elsewhere," she says.

"Or we could wind up with a single, all-purpose campus that brings together many different parts of the Group. These are all options we need to consider as we look to the future.

"The Qantas Group will remain one of the country's largest employers and a major generator of economic activity, so we're keen to engage with state governments on any potential incentives as part of our decision making."

To assist with the first phase of consolidation, Colliers International has been appointed to sublease about 25,000 square metres of surplus office space across Mascot, Melbourne CBD and Hobart.  A lease on a 230 square metre Sydney CBD office that is due to expire in October will not be renewed.

Updated at 10:44am AEST on 15 September 2020.

Victoria pledges $87m to bring outdoor dining to life

Victorians will be able to enjoy a summer of al fresco drinking and dining once COVID-19 trading restrictions on hospitality businesses are eased, thanks to almost $90 million in government funding.

Announced today, the Victorian Government's 'Outdoor Eating and Entertainment Package' will target funding at hospitality businesses and city councils to make outdoor dining experiences possible under COVID-19 restrictions.

Business will be able to apply for up to $5,000 grants to pay for practicalities needed to make the Government's plans work like umbrellas, furniture, screens and other equipment.

The State Government estimates more than 11,000 eligible businesses will benefit from the $58 million in grants.

Eligible businesses include licenced and unlicenced cafes, restaurants, takeaway food businesses, pubs, taverns, bars and clubs with a payroll of less than $3 million.

They will be able to make the most of the funds from 26 October - the date at which the State Government hopes outdoor dining will be permitted once again when COVID-19 restrictions ease.

"We're the cultural and dining capital of our nation," says Victorian Premier Daniel Andrews.

"That means, when it comes to reimagining what eating and entertainment means under COVID Normal, there's no one better equipped than Melbourne and Victoria.

"It will be our innovation, ideas and creativity that will help us find and maintain our COVID Normal."

Further funding of $29.5 million will be provided to local councils to help them implement permit, enforcement and monitoring processes to support expanded outdoor dining in the 'Third Step' of Victoria's reopening roadmap.

The close to $90 million in funding for outdoor dining experiences follows the State Government's $50 million pledge (matched by the City of Melbourne for a total of $100 million) to assist CBD-based businesses transform.

From that fund, SMEs in Melbourne's CBD will be able apply for $30 million worth of grants to pay for equipment, convert spaces like rooftops and courtyards into hospitality zones and remodel internal layouts to allow for the better flow of patrons.

A further $30 million will support COVID Safe events and cultural activities to attract visitors back to the CBD when it's safe to do so.  Another $40 million will go towards providing physical improvements to the CBD streetscape, which may include wider footpaths, bollards and street planter boxes.

$100m sole trader support package established

To support struggling sole traders the State Government has also established a $100 million support fund, providing eligible entrepreneurs with grants of $3,000.

To be eligible sole trades must demonstrate that they are continuing to be affected by restrictions, like those in media and film production, creative studios, outdoor entertainment, in private museums and galleries, and gym owners.

"While many sole traders have been relying on JobKeeper payments to get by, overheads are adding up and these grants will provide extra support to help these businesses get through until they are back to full operation," says the Victorian Government.

Today's announcements are in addition to yesterday's $3 billion in grants, tax relief and cashflow support for Victorian businesses.

Updated at 4.26pm AEST on 14 September 2020.

City of Melbourne establishes $100m recovery fund

A $100 million recovery fund created by the City of Melbourne and the Victorian Government will be used to reactivate the central city as the state progressively reopens.

The funds will be used to invest in programs and infrastructure to kick-start the economy and attract workers and visitors back to the city.

This will be achieved by extending outdoor trading hours, waiving permit fees, activating vacant shopfronts and increasing marketing, events and entertainment in the City of Melbourne.

The Melbourne City Recovery Fund includes:

• $30 million for small to medium sized businesses to rapidly adapt their operations to be more COVID Safe and comply with health directions.
• $30 million for COVID Safe events and cultural activities to attract visitors back to the central city.
• $40 million on infrastructure works to support the return of people to the central city through making the city more safe, accessible and sustainable.

"This fund will provide support for businesses to trade safely and help encourage customers back into the city once restrictions ease. These businesses are part of the fabric of our city and will be crucial to our recovery," said Lord Mayor Sally Capp.

"Funding to help local businesses become more COVID safe or expand their trade outdoors will be available as part of this package.

"The funding will also be used to tailor events so we can reactivate our city safely and provide a boost for hospitality and retail businesses."

The Fund includes $50 million from the City of Melbourne and $50 million from the Victorian Government.

The Lord Mayor said Melbourne's economy was booming before COVID-19, reaching a record $104 billion last year, which is 24 per cent of Victoria's Gross State Product.

"Economic research shows the pandemic could reduce Gross Local Product by up to $110 billion over the next five years compared to pre COVID-19 projections," said the Lord Mayor.

"I would like to thank the Premier for partnering with us in delivering a jointly funded recovery package for businesses and workers. This is great for kick-starting the economy and safely welcoming people back into our city."

The establishment of this new fund follows the announcement of a $3 billion business support package from the Victorian Government over the weekend comprising cash grants, tax relief and cashflow support.

More than $1.1 billion in cash grants will support SMEs, including $822 million as part of a third round of the Business Support Fund.

A cash grant scheme that has already given $1.47 billion to 108,000 businesses will also be expanded, with the government expecting around 75,000 eligible businesses with payrolls up to $10 million will receive grants of $10,000, $15,000 or $20,000 depending on their size.

Updated at 1.20pm AEST on 14 September 2020.

Starpharma nasal spray found to be effective at preventing COVID-19 infection

Testing of Starpharma's (ASX: SPL) nasal spray has been shown to inactivate more than 99.9 per cent of SARS-CoV-2, the virus that causes COVID-19.

The effectiveness of the treatment depends on its use before or after exposure to the virus.

Emboldened by the positive results, Starpharma has expedited production of the spray to make it market-ready for the first half of 2021.

The announcement comes just weeks after the company announced it had received $1 million in funding to develop the nasal spray called SPL7013.

The findings came from studies conducted in the laboratory of internationally recognised virology researcher Professor Philippe Gallay at the Scripps Research Institute in the US.

"We are delighted to be working with Professor Gallay to expedite the development of this important product," says Starpharma CEO Dr Jackie Fairley.

"These latest data show that at clinically relevant concentrations, SPL7013 inactivates more than 99.9 per cent of SARS-CoV-2, which represents a compelling feature for the product.

"This potent virucidal action is consistent with the activity seen for SPL7013 in other viruses, including HIV and HSV."

Professor Gallay, an expert in HIV (the virus that can cause AIDS) and the hepatitis C virus, says this discovery is an exciting development in the global fight against COVID-19.

"We have been working with Starpharma for a number of months now and are impressed with the antiviral data generated in our lab for SPL7013 against SARS-CoV-2," says Professor Gallay.

"It is particularly exciting to see a product show such a potent and clear virucidal effect against this highly infectious virus, and for its antiviral activity to be present when SPL7013 is added either before or after exposure of the cells to the virus."

Dr Fairley says the nasal spray will be able to hit pharmacy shelves soon and will complement other prevention measures such as PPE and vaccines.

"Starpharma's COVID-19 nasal spray has potential to be an important near-term preventative product, and given it is based on an already marketed active, its path to market is both faster and less complex than a completely new product," says Dr Fairley.

"Another attractive feature of Starpharma's SPL7013 COVID-19 nasal spray is that it is entirely complementary to other prevention measures such as PPE and vaccines.

"It also has a special relevance where social distancing is not possible such as crowded environments and certain workplaces. The importance of multiple preventative product strategies has been highlighted by the recent challenges with some vaccine trials."

Starpharma has already completed reformulation of the drug, pilot product manufacture, selection of device and packaging component, meaning the SPL7013 nasal spray will be expedited into the market.

The company has also commenced commercial discussions across a range of distribution channels and customer groups.

The discovery and subsequent announcement of it to the ASX have seen shares in the pharmaceutical company rise by more than 7 per cent at the time of writing.

Updated at 12.38pm AEST on 14 September 2020.

Victorian restrictions eased overnight: curfew extended, social bubbles introduced

Victorians can now expect more social interaction and extra time outside after the state cautiously eased out of heavy lockdown restrictions at midnight.

The gradual easing of restrictions, part of the 'First Step' of the state's roadmap to reopening, comes as Victoria records just 35 new cases of COVID-19 and seven deaths today.

As part of step one social bubbles are now allowed in Melbourne, meaning those living alone or single parents can have one other person in their home.

The 8pm curfew has been extended by one hour to 9pm as Melbourne moves into the warmer months.

Exercise is permitted for two hours split over a maximum of two sessions per day, and Melburnians are allowed to use that out time outside for social interaction with one other person or the members of their household.

Playgrounds and outdoor fitness equipment have also been reopened, while libraries are able to open for contactless click and collect services.

However, Melbourne is largely still subject to strict Stage 4 restrictions, meaning most businesses are still closed.

RELATED: Victoria announces $3 billion business support package

Meanwhile, regional Victoria moved from Stage 3 restrictions to the second step of the roadmap as of midnight last night, meaning up to five people can gather together in outdoor and public places from a maximum of two households.

Outdoor pools and playgrounds have reopened, and religious services can be conducted outside with a maximum of five people plus a faith leader.

Because regional Victoria's 14-day rolling average of COVID-19 cases is doing so well (currently sitting at 4.1) the state government says areas outside of greater Melbourne could move to the third step of easing within a matter of days.

"I'm so proud of Victorians for the way we are all working together to beat this virus it means we can take our first safe and steady steps towards a COVID Normal tonight," said Victorian Premier Daniel Andrews yesterday.

"What we've seen in regional Victoria should give hope to all Victorians. If we all play our part, we can drive numbers down and get through this together."

Updated at 10.05am AEST on 14 September 2020.

Victoria announces $3 billion business support package

When asked recently about whether the Federal Government would give additional support to Victoria given lockdowns are still in place and JobKeeper amounts will be scaled back, Prime Minister Scott Morrison played hardball, indicating he would wait for Premier Daniel Andrews' (pictured) next move.

Today that move has come in the form of a new $3 billion support package from the Victorian Government comprising cash grants, tax relief and cashflow support, doubling the state's business support to $6 billion.

More than $1.1 billion in cash grants will support SMEs, including $822 million as part of a third round of the Business Support Fund.

A cash grant scheme that has already given $1.47 billion to 108,000 businesses will also be expanded, with the government expecting around 75,000 eligible businesses with payrolls up to $10 million will receive grants of $10,000, $15,000 or $20,000 depending on their size.

Other support measures in the new package include:

• A $251 million dedicated Licenced Venue Fund with grants of between $10,000 and $30,000 for licenced venues, along with the waiving of liquor license fees for 2021;
• $4.3 million worth of $20,000 grants to alpine resorts affected by COVID-19 restrictions;
• Grants of up to $20,000 for local business groups and chambers of commerce to help members adapt and find their feet in a "COVID-normal" world;
• A deferral of payroll tax for businesses with payrolls of up to $10 million in FY21, adding to refunds totalling $540 million to 20,000 businesses to date;
• A further $137 million in waivers and deferrals of charges including liquor licence fees, the congestion levy and increases to the landfill levy;
• The 50 per cent stamp duty discount for commercial and industrial property across all of regional Victoria will be brought forward to 1 January 2021 and the Vacant Residential Land Tax will be waived for properties that are vacant in 2020.
• A $44 million investment in business support to adapt to a COVID-normal environment, including $20 million for small businesses to access off-the-shelf digital programs such as Shopify or Squareonline, training and workshops designed to help businesses adapt to online operations; and
• An additional $8.5 million for the 'Click for Vic' campaign to support the state's food, wine, galleries and homewares, through marketing and advertising as well as expanding the digital platform and its partnerships with third-party e-commerce providers. To date the initiative has already generated 211,000 leads to the businesses featured.

"For our state to recover, we need our businesses to recover too. As we take our first safe and steady steps towards COVID Normal, this support will help make sure we get through this together," says Premier Andrews.

"We'll continue meeting with and listening to businesses, so we can do everything we can to support them and their workers."

"We're helping business to endure during these difficult times, and then to rebuild on the other side. This package comes on the back of extensive consultation with businesses in every sector," adds Minister for Industry Support and Recovery Martin Pakula.

Updated at 2:57pm AEST on 13 September 2020.

Suncorp store closures will lead to 550 job cuts

The Finance Sector Union of Australia (FSU) has today revealed Suncorp's (ASX: SUN) major restructure will involve 550 job losses, following the announcement on Wednesday that 19 stores and one business centre would be closed.

The Brisbane-headquartered banking and insurance group will permanently close several locations across Queensland, New South Wales and Victoria, although most of these stores have been shut already since April when COVID-19 restrictions came into place.

The company explained customers of the stores concerned have moved to online, claiming that their nearest in-person option such as an alternative store or Australia Post outlet was usually within 500 metres or no further than several kilometres.

Suncorp noted affected employees would however be given the opportunity to apply for contact centre roles they can perform from their local communities.

FSU Queensland local executive secretary Wendy Streets argues that as a large financial services company Suncorp should have the capacity to maintain its business operations through the global pandemic and the subsequent recession caused by Covid-19.

"However, instead of valuing the staff it currently employs and planning for playing its part in rebuilding the Australian economy once the pandemic subsides, Suncorp has taken a short-sighted decision to make up to 550 roles redundant," says Streets.

"While Suncorp says 180 new roles will be created, there are no guarantees that any displaced employees will successfully be redeployed into these new roles.

"This is the worst time to be unemployed and we know how difficult it will be for some of these Suncorp workers to find new jobs."

After noting Suncorp recently recorded a statutory profit of $913 million, Streets said it was difficult to see how the loss of so many loyal employees will not affect frontline services to customers.

"Suncorp is a profitable finance company and in these difficult times, with so many Australians out of work, if we can't rely on companies like Suncorp to do the right thing by their employees, who can we rely on?"

In a response today, a Suncorp spokeswoman said the group continued to "align" its teams under an operating model announced on 1 July.

"The new model is designed to deliver on our priorities and ensure we can support the changing needs of our customers through COVID-19," she said.

"This week teams were advised of proposed changes across our business and we are fully committed to consulting with our people and supporting those impacted.

"We expect a number of new roles to be created while it's also likely some people will leave the organisation."

Earlier this week, Suncorp's executive general manager of consumer distribution, Chris Fleming, said many customers had switched to digital banking in 2020 and would likely continue to bank that way beyond COVID-19 and face-to-face transactions will fall further.

He said the number of digital transactions has risen by 10 per cent this year and two-thirds of new accounts have now opened online. At the same time, over-the-counter transactions are down almost 60 per cent since June 2016.

"Suncorp must make changes to our business so we can keep up with our customers' demands and remain a strong alternative to the major banks, which is something our customers also value," Fleming said.

"We can only be a genuine choice over the major banks if we focus on customer needs and keep our bank strong."

Updated at 4:58pm AEST on 11 September 2020.

Federal Government to subsidise business events with $50m in grants

The Federal Government will cover up to half of the costs for Australian businesses involved in conferences and events as part of a $50 million grant program intended to help restart the sector.

Under the Business Events Exhibitor Grants program, Australian businesses exhibiting at an approved business meeting, convention, conference or incentives event in 2021 will be able to apply for upfront grants to cover up to 50 per cent of their costs.

The grants on offer will range from $10,000 to $250,000 per business.

The scheme is aimed at encouraging businesses to attend events, trade shows and conferences, with the government covering the costs associated with exhibiting such as exhibition space hire, the manufacture of displays, travel and accommodation.

Prime Minister Scott Morrison says the funding will support the business events industry that was heavily hit by COVID-19 restrictions, with around 95 per cent of business events for 2020 either cancelled or postponed.

"Getting business events up and running again will be a critical part of the recovery of our tourism industry, but will also have huge flow-on effects through the entire economy," said Prime Minister Morrison.

"This is not only about supporting events companies and venues, but will also be a shot in the arm for a broad range of businesses and the people they employ - whether it's accommodation providers, those who build exhibitions, caterers, cleaners or those offering audio-visual services."

The Business Events Council of Australia (BECA) has welcomed the announcement, hoping the targeted support will drive confidence and create momentum for the sector.

"Australia's business events industry wholehearted welcomes the Federal Government's support through this grants program. Australia's business events industry has left devastated by the COVID-10 pandemic, at a cost to our economy of $35.7 billion, and counting," says chair of the Business Events Council of Australia Dr Vanessa Findlay.

"Today announcement is an important step towards recovery. We can now look to rebuilding business confidence and kick-starting momentum across the entire business events supply chain for meetings, conventions, incentives and exhibitions.

"BECA's goal is to both support the business events industry and maximise the contribution that this makes to the recovery of our wider economy. This support package will be pivotal to that."

BECA notes that last year over 480,000 business events were held in Australia and over 43 million people attended a business event in the form of a meeting, convention, exhibition or incentive event.

In a recent survey conducted by BECA, 67 per cent of businesses said they don't have any business events confirmed for 2020 and 48 per cent of businesses said they don't have any business events confirmed for 2021 either.

More information about the Business Events Exhibitor Grants program can be found here.

Updated at 10.59am AEST on 11 September 2020.

New QLD public health alerts for Westfield Garden City, Orion Springfield Central

Queensland Health has today expanded its list of venues where confirmed cases of COVID-19 cases visited while infectious.

The list now includes two major shopping centres in South East Queensland, including Orion Springfield Central Shopping Centre in Springfield Central and Westfield Garden City in Mount Gravatt.

The public health alerts note the confirmed COVID-19 case visited stores like Big W, City Beach, Woolworths, Pandora and more.

Anyone who has been to these locations at the times specified should monitor for symptoms of COVID-19 and get tested if any present:

The health alerts come as Queensland records two new confirmed cases of COVID-19 today.

Both of the cases are direct contacts of already confirmed cases and have been in home quarantine while infectious.

One is the seventh member of a household to have contracted COVID-19, meaning all members of that household have now had the virus.

There are now 28 active cases of COVID-19 in Queensland, bringing the cumulative number of infections in the state since the pandemic began to 1,145.

Victoria has also confirmed that there are 43 new cases of COVID-19 in the state today, down from 51 yesterday.

The state also recorded nine new deaths from COVID-19 today, bringing the total number of deaths since the pandemic began in Australia to 797.

Updated at 9.43am AEST on 11 September 2020.