Kaikoura earthquake: Govt extends business support lifeline

Tourism is a key industry for the Kaikōura region (Getty)
Tourism is a key industry for the Kaikōura region (Getty)

The Government will continue its support package for businesses impacted by the November 14 earthquake by another eight weeks.

Economic Development Minister Steven Joyce and Social Development Minister Anne Tolley announced the extension on Friday morning in Kaikōura.

"The further eight week extension is available for businesses in the Kaikoura district who face a dramatic drop in their turnover as a direct result of the earthquakes and the closure of State Highway 1", Mr Joyce says.

"The package is designed to assist those companies who had experienced a sudden, large and sustained drop in revenue to retain their staff while the district recovers."

It also applies to businesses in Hanmer Springs and the wider Hurunui District if they can show a "sudden, large and sustained" drop in their takings.

The extended support package will cover a total of 16 weeks:

It can be backdated to the time of the earthquake.

A fund of $7.5 million was initially rolled out for businesses in Kaikōura after the magnitude 7.8 quake, and Ms Tolley says a further $5 million has been added to this.

"So far there have been 639 applications from businesses for the support, and $4.877 million has been paid out," she says.

After its initial rollout in Kaikōura, the package was extended to Wellington businesses which could not open because of cordons around at-risk buildings.

Meanwhile, the New Zealand Transport Agency (NZTA) says it is making progress on the major slips which came down on SH1 during the earthquake.

NZTA says half of the 25 major slips are now cleared or partially cleared, but it could be well into the New Year before a second lane is open to the south side of Kaikōura.

Parts of the highway that have collapsed on the sea side need to be rebuilt, and protective barriers are needed to protect the inside lanes which takes up valuable road space.

Newshub.