Senator the Hon. Mathias Cormann
Minister for Finance
Leader of the Government in the Senate
Senator for Western Australia
Date: Tuesday, 7 April 2020
The Commonwealth Government will waive rents for all its small and medium enterprises and not-for-profit tenants within its owned and leased property across Australia.
The Australian Government is acting as a model landlord trying to help our tenants through this period where their activities are impacted by the Coronavirus health crisis.
This initiative is expected to cost about $7.6 million over a 6 months period.
The types of businesses in scope of the policy include cafes and restaurants, childcare operators, retail and local service providers, community organisations and educational institutions.
The Department of Defence will also be waiving operational charges to the aviation industry.
The Government’s Rent Relief Policy applies from 24 March 2020 and will be available to all small and medium sized enterprises and not-for-profit tenants, subtenants and licensees that lease from Non-corporate Commonwealth entities. The rent relief will continue until the Australian Government lifts restrictions that are currently in place to slow the spread of COVID-19.
The Rent Relief Policy will include a mutual obligation requirement on the small and medium sized enterprises and not-for-profit tenants to continue to engage their employees through the JobKeeper initiative where eligible, and if applicable, provide rent relief to their subtenants.
This announcement builds on the National Cabinet’s announced moratorium on evictions over the next six months for commercial and residential tenancies in financial distress who are unable to meet financial commitments due to COVID-19.
The Government will continue to support the community to keep businesses in business, protect jobs and support households and the Australian economy at this time.