NSW Treasurer Matt Kean has lashed the Morrison government after it vetoed a request for financial support for small businesses that have suffered through the Omicron wave.
The NSW government on Sunday unveiled its $1 billion economic support packages for small and medium sized businesses, which it will fund alone despite asking the commonwealth to contribute.
The new support package targets small and medium businesses that have had at least a 40 per cent downturn over the summer period, covering 20 per cent of their wages bill to a maximum of $5000.
It has been reported the amount of support would have been doubled if the Morrison government had chipped in.
Mr Kean on Sunday took aim at his federal counterparts, saying he was “very disappointed” they had declined the request for assistance.
“I was hoping to make this announcement standing beside Prime Minister (Scott Morrison) today and the Treasurer (Josh) Frydenberg. But they’re not to be found,” he told reporters.
“These are not just NSW businesses, they’re Australian businesses, that pay their taxes to the commonwealth government, that are doing it so tough at this time.”
Premier Dominic Perrottet insisted he remained a proud “fiscal conservative” as he doubled down on criticising the Morrison government.
“I’d like them to provide financial support just like they have in the past. It’s been a partnership over the last two years,” he told reporters.
“When I was treasurer, I also didn’t see eye-to-eye (with them) at various points in time, and you have those constructive and robust discussions.”
Earlier, Mr Perrottet said he didn’t know why the commonwealth government had decided not to co-fund the package.
“That’s really a matter for them to make a decision on. I don’t have an understanding,” he told Sky News.
“I want to use our fiscal strength to get businesses through. When I look at the data I’ve seen … it makes perfect sense from my perspective.”
It’s not the first time the NSW coalition has clashed with the commonwealth over Covid stimulus measures.
Mr Perrottet, then treasurer, demanded the JobKeeper payment be reinstated as Sydney entered its Delta lockdown in 2021, before the Morrison government capitulated and announced another round of support.
Barnaby Joyce on Sunday denied his government was “penny pinching” by ruling out further stimulus.
“The Morrison government has handed billions and billions out (during the pandemic). Drops in the ocean all add up,” the Deputy Prime Minister told Sky News.
“You can't just keep putting things on the credit cxjmtzyward over and over and over again.”
Mr Joyce said if the government contributed it would mean less money for essential commonwealth services such as defence, education and the National Disability Insurance Scheme.
“You’ve got to make hard decisions, that’s what government’s about. Our side of politics is supposed to be one that respects the value of money.”
The Victorian government is expected to follow NSW and announce its own stimulus package as early as this week.