Govt Plans Another HK$5.5bn For Covid-hit Sectors

Business sectors most affected by Hong Kong's latest efforts to curb the spread of coronavirus will share an additional HK$5.5 billion of relief funding, Chief Secretary Matthew Cheung said on Thursday.

At a press conference, Cheung said the government will offer focused and targeted help to firms that have been ordered to close amid the latest wave of infections.

“Businesses like gyms and beauty parlours will benefit from the latest round of financial help,” he said. “Kindergartens, which had been asked to suspend face-to-face classes, will also receive the assistance.”

Cheung said many sectors are suffering particularly badly at the moment because the run-up to Christmas is traditionally their peak trading season, and the money on the way will be around double the last package of HK$2.8 billion for struggling businesses.

The bulk of the new funds, some HK$3.4 billion, will be earmarked for the catering industry, after restaurants were ordered to stop serving dine-in customers after 6pm.

Depending on the size of their premises, some 17,000 catering outlets will get a one-off subsidy of between HK$100,000 and HK$500,000.

Meanwhile, bars, nightclubs and karaokes that have been ordered to close again will receive HK$50,000.

Beauty clinics and massage parlours will get between HK$30,000 and HK$100,000 each, depending on how many staff they have, while kindergartens and private schools will get between HK$60,000 and HK$160,000, and gyms HK$100,000.

Cheung said the Legislative Council's Finance Committee will meet on Monday to vet the funding application and he hopes businesses will be able to receive the money next month.

On top of the HK$5.5 billion, the government will also ask Legco to approve HK$830 million for "contingency funds".