Four Sydney Local Government Areas being plunged into lockdown for seven days will inflict carnage on CBD retailers, according to peak industry body the National Retail Association (NRA).
Earlier today the New South Wales Government announced that four LGAs – Woollahra, Waverley, Randwick and City of Sydney Councils – would enter a week-long lockdown following a spate of COVID cases in recent days.
NRA CEO Dominique Lamb said that while retailers accept that action needed to occur it could cost as much as $750 million in lost retail sales.
“The New South Wales Government has done a fantastic job over the past 12 months managing COVID outbreaks while keeping the economy relatively open. Retailers understand that this is a last resort option, but it’s certainly going to come at a cost,” Ms Lamb said.
“The NRA forecasts that this will cost retailers in the affected areas as much as a combined $750 million in lost sales.
“CBDs right across the country have struggled throughout COVID and all have foot traffic well below pre-pandemic levels. Even if this lockdown is short and successful, it’s likely to further dent the number of consumers visiting the Sydney CBD once restrictions are lifted.”
Ms Lamb said that both the state and federal governments need to urgently consider assistance measures to affected retail businesses.
“Retailers impacted by this lockdown will be doing so without the JobKeeper safety net. If we’re to cushion the economic blow of this round of restrictions then both the state and federal governments need to provide urgent assistance measures,”
“This lockdown also comes in the final week of end-of-financial-year sales. Rather than seeing consumers stampede into town to cash in on bargain sales, Sydney CBD shopping precincts will resemble a ghost town.
“In the meantime, we urge all retailers operating in other parts of Sydney to continue enforcing the highest possible safety measures and for eligible people to book an appointment to receive the COVID vaccine.”
Restrictions breakdown
NSW Premier Gladys Berejiklian has announced a lockdown will be in place in the City of Sydney, Waverley, Randwick, and Woollahra from 4:00pm AEST today.
If you live or work in those Local Government Areas, you need to stay at home unless absolutely necessary.
The necessary reasons include sourcing essential supplies, care and caregiving, outdoor exercise in groups of fewer than 10, and work not able to be done from home.
NSW Health says the restrictions will be in place for one week.
The COVID restrictions put in place prior to this will be extended by another week, scheduled to end on 11.59pm on Friday, 2 July 2021.
At this point in time, retail trade is not restricted except for hospitality businesses that will be required to provide takeaway services only. This is of course subject to any formal directions. Further updates will follow as more information becomes available.
As a reminder, the restrictions for the Canada Bay, Inner West, and Bayside LGAs are:
- The 1 person per 4sqm rule comes back into force for all indoor and outdoor setting;
- Masks will be compulsory in all indoor non-residential settings, including workplaces, and at organised outdoor events;
- Drinking while standing at indoor venues will not be allowed;
- Singing by audiences at indoor shows or by congregants at indoor places of worship will not be allowed;
- Dancing will not be allowed at indoor hospitality venues or nightclubs however, dancing is allowed at weddings for the bridal party only (no more than 20 people);
- Dance and gym classes limited to 20 per class (masks must be worn);
- Outdoor seated events will be limited to 50% seated capacity;
- Previous public transport capacity limits will be reintroduced;
- If you live or work in the City of Sydney, Waverley, Randwick, Canada Bay, Inner West, Bayside, and Woollahra local government areas, you cannot travel outside metropolitan Sydney for non-essential travel.
The National Retail Association has signage about face masks and social distancing available for download at https://www.nationalretail.org.au/resource-categories/coronavirus-resources/.