The package is worth $12.1 billion. (Photo / Getty)

Coronavirus financial package: What it means for you

Author: NZ Herald,
Publish Date: Tue, 17 Mar 2020, 2:16pm

The Government’s launched a $12.1 billion plan to cushion the impact of COVID-19.

It’s bigger than the one prompted by the Global Financial Crisis, and worth four percent of GDP.

It includes 45.1 billion in wage subsidies, $500 million for health, and $126 million to support workers in self-isolation.

Finance Minister Grant Robertson says this is not a one-off package, it’s just the beginning.

He says the Government's taking tough, decisive action to give New Zealand a fighting chance of mitigating the worst.
Extra spending of $12.1 billion for businesses, beneficiaries, pensioners and the health system.
$8.7 billion in support for businesses and jobs.
$2.8 billion for incomes support.
$500 million for health.
Wage subsidy for employers up to 12 weeks and up to $150,000 if they have suffered a 30 per cent decline in revenue compared to last year, $585 a week for full-timers, $350 a week for part-timers, available to all employers and self-employed.
Leave and self-isolation support for eight weeks people with Covid-19, caring for people with it or people in self-isolation up to eight weeks at same rates as wage subsidy but not for those who can work from home.
Self-isolation payments not available to people who leave NZ after March 16 and return.
Permanent increase of $25 a week in main social welfare benefits after increases from indexation on April 1, likely to affect 350,000 low income families.
One-off doubling of winter energy payment to $1400 for couples and $900 for singles, likely to affect 850,000 people.
Families with children not receiving a main benefit but are in work will no longer have to satisfy the work test of 20 hours a week for sole parents or 30 hours for couples, likely to benefit about 19,000 low-income families.
$50 million extra for GP and primary care and $20 million for videoconferencing consultations.
$32 million for extra intensive care capacity and equipment in hospitals.
$40 million for public health units mainly for contact tracing.
$100 million set aside to support work deployment.
Provisional tax threshold will lift from April 1 from $2500 to $5000 allowing an estimated 95,000 business to defer tax payments and possible waiving of interest on late payments.
Reinstatement of depreciation deductions for commercial and industrial buildings at an estimated cost of $2.1 billion to 2024.