Business / Covid 19

Glacier Country businesses start to receive 'lifeline' support

12:57 pm on 23 May 2021

Development West Coast has begun distributing funds to businesses impacted by the lack of tourism due to Covid-19.

Visitor numbers to Franz Josef were down 72 percent over the summer period, a DOC study shows. Photo: RNZ / Conan Young

Glacier Country remains one of the hardest hit areas in Aotearoa, with many businesses desperately short of cashflow.

The $5 million Glacier Country business support fund will prop up hurting businesses in Franz Josef, Fox Glacier and the surrounding settlements.

The Department of Conservation's summer 2020/21 visitor insights report revealed visitor numbers to Franz Josef were down 72 percent over the summer period.

Electronic card transaction data from MarketView shows spending in Franz Josef fell by 60 percent for the year to March 2021.

"While we welcome the opening of the trans-Tasman bubble and Minister [Stuart] Nash's recent announcement of a tourism recovery package, Glacier Country remains one of the hardest hit areas in New Zealand, with many businesses desperately short of cashflow," Development West Coast (DWC) chief executive Heath Milne said.

In response to the crisis, DWC established the support fund. The package includes offering eligible businesses a maximum of $50,000 through cashflow support.

Milne said DWC received almost 50 expressions of interest and in turn 40 full applications for support through the GCBSF.

Mike Meehan Photo: RNZ / Conan Young

Kotahitanga ki te Uru chair Mike Meehan has been helping with the regional recovery by mitigating social and economic impacts.

To date, KKTU has endorsed nature-based jobs initiatives worth $11.1 million that have created an estimated 214 jobs.

DOC's Jobs for Nature programme in South Westland has created over 100 jobs helping tourism operators pivot.

It has led to former skydivers building tracks and other initiatives to support the environment, acting director for Western South Island Jo Gould said.

Meehan said he believed the fund will "change the model of business in the Glacier Country".

"By no means are we providing the silver bullet to solve all the problems but we are providing a form of lifeline for them to retain staff and provide meaningful work along the way."