The government has ruled out an extension of the wage subsidy for struggling tourism businesses at alert levels one and two, but has undertaken to look at other assistance options.

Queenstown Lakes District mayor Jim Boult confirmed the news this week that the wage subsidy would only be available in the future at alert levels three and four.

The mayor met online with prime minister Jacinda Ardern and tourism minister Stuart Nash earlier in the week and outlined the struggles faced by communities which are heavily reliant on tourism, and the visitor and accommodation sectors.

Jim said he is confident central government understands the needs of this district’s communities, but acknowledged there is no “silver bullet” in addressing the challenges for the tourism industry.

“While I am confident that both the prime minister and minister Nash truly understood what we’re facing here, they have ruled out any re-instigation of the wage subsidy that we had during that first initial wave of the effects of Covid-19 outside of the Minister of Finance’s December announcement confirming it would be available where alert levels three or four are in place,” he said.

Jim said the news was disappointing and will be “a bitter pill for those who may have been holding out for that as a lifeline”.

However, they have undertaken to explore some possible assistance in other ways, he added.

“I recognise this is a unique situation, for our district, for Aotearoa New Zealand, and at a global level. In that context I appreciate there are hard decisions that central government has to make in the ongoing efforts to stamp out Covid-19 and keep our communities safe. These are tough calls and it is times like these we need to pull together and support each other whenever we can,” he said.

“Locally we are enormously thankful for the many Kiwis who have and are intending to visit us. Operators here are committed to adjusting the offerings to suit the domestic market and their budgets.”

PHOTO: Wanaka App