About the program
The Greater Sydney lockdown commenced on 26 June, immediately prior to the New South Wales winter school holidays. As a result, many accommodation premises reliant on winter school holiday trade faced a significant loss of income. Grants to accommodation premises that can demonstrate room cancellations during the school holiday period will help alleviate the financial impacts of the lockdown.
The NSW Accommodation Support Grant Program (the ‘Program’) provides support to accommodation premises that experienced cancellations for stays occurring between Friday 25 June and Sunday 11 July inclusive (NSW winter public school holidays and the preceding weekend) as a result of the lockdown restrictions. It is part of the more than $5.1 billion support package announced by NSW Government.
The formal program will commence in late September 2021, and applications will close two months after launch. Accommodation premises can apply for both this Program and other support measures such as the COVID-19 Business Grant and JobSaver.
SNSW and NSW Treasury will implement the Program on behalf of the NSW Government, with Treasury responsible for policy development and SNSW responsible for design, administration and reporting on the Program.
How the Program will work
The $26 million program supports accommodation premises with one of two grants:
a) Tier 1: For accommodation premises that have had a cancellation of 10 nights or less, there is a grant of $2,000
b) Tier 2: For accommodation premises that have had a cancellation of 11 nights or more, there is a grant of $5,000
One application may be made for each eligible accommodation premise at a unique property address (i.e. geographically distinct premises within NSW) owned or operated by the same accommodation provider.
Businesses are required to register and submit an application online through Service NSW.
To participate in the scheme, businesses must register through Service NSW. To register, the primary business of the applicant must:
- be an accommodation premises as defined by the following ANZSIC codes:
|4530||Accommodation and food services|
|4520||Pubs, Taverns and Bars|
|9559||Other interest group|
|6712||Non-residential property operators|
|6962||Business management services|
|6961||Corporate head office management services|
- be physically located in NSW
- be a legitimate applicant authorised to act on behalf of a legitimate business (note: third party booking/letting/real estate agents are able to apply, provided that they complete a Letter of Authorisation to confirm that they are authorised to act on behalf of the business. A template letter will be provided by SNSW)
- have a valid bank account
- have a current and active ABN, which is GST registered (or be a legitimate new business) held before 25 June 2021
- pass a series of security and fraud checks
- agree to the Terms and Conditions.
Where a business operates through a trust structure, the applicant will be required to provide additional information to demonstrate an aggregated annual turnover of $75,000 or more is derived through the trust, as opposed to a business linked to a trust. The entity operating the business is eligible for the Accommodation Support Grant, not other entities that are receiving passive income from the business.
Once registered, the applicant will have to provide evidence that they:
- incurred cancelled nights within the period on or after Friday 25 June and ending on or before Sunday 11 July (for each unique property, if applicable); and
- provide a declaration that they did not charge any cancellation fee and/or that they refunded any amount paid for the booking cost (other than standard credit card fees).
The applicant will receive confirmation that their application is being processed and receive confirmation of whether or not their application has been approved subsequently.
The following are ineligible for the program:
- Accommodation premises that are owned and operated by a Local Government or State Agency (however lessees for their accommodation premises are allowed to apply).
- Businesses that rent-out mobile accommodation facilities, which do not have fixed addressed (such as caravans, camp trailers or tents hire companies).
- Providers of kennels, catteries, pet resorts and other solely non-human accommodation.
Evidence requirements for eligibility
Applicants must attest that they meet the eligibility criteria at the time of application and are continuing to trade in providing accommodation premises for tourists.
Applicants not listed on the Australian Business Register as a contact or associate will need to provide a Letter of Authorisation to confirm that they are authorised to act on behalf of the business (SNSW will provide a template).
If the ABN is registered outside of NSW, but business premises are operating in NSW, applicants must provide evidence of the location of the accommodation premises through the most recent:
- utility bill (gas, electricity, telecommunications, water); or
- business licence or other registration identifying the location of the accommodation provider’s business; or
- council rate notice.
Applicants must provide evidence of the cancelled booking(s) through the provision of the following:
- occupancy report for the relevant accommodation premises; and
- cancellation report, or other record of cancellation.
Applicants must remove the name and contact details of guests before providing SNSW with this information .
See the full terms and conditions.
Grant mechanism and process
Funding will be allocated through a grant assessment process.
One application may be made for each eligible accommodation premises located at a unique property address (geographically distinct location) in NSW. An eligible accommodation provider with multiple accommodation premises at geographically distinct locations in NSW can make applications for each property.
Each geographically discrete accommodate premises can only submit one application (therefore all relevant booking cancellations should be detailed within that single application).
An accommodation booking agency or Real Estate Agent managing multiple properties must provide separate applications for each property they manage. Accommodation booking agencies and Real Estate Agents who apply for the grant and receive grant funds on behalf of an accommodation provider must submit a Letter of Authorisation to act on behalf of accommodation premises, and declare that the funds are passed through to the accommodation premises.
Examples of how the Tier 1 and 2 grants to the accommodation premises will be calculated in this Program as follows:
- Case A: a hotel has cancelled bookings for 10 rooms for 2 nights each = 20 cancelled nights (eligible for $5,000)
- Case B: a bed and breakfast has cancelled bookings for 2 rooms for 3 nights each = 6 cancelled nights (eligible for $2,000)
- Case C: a caravan park has cancelled bookings for 8 sites for 2 nights each = 16 cancelled nights (eligible for $5,000)
- Case D: a private holiday rental house (regardless of the number of rooms) has 1 cancelled booking for 3 nights = 3 cancelled nights (eligible for $2,000)
- Case E: a hostel/backpackers/camping lodge has 20 individual bookings for beds cancelled (regardless of the number of rooms) = 20 cancelled nights (eligible for $5,000).