Receive the latest mybusiness news
Copyright © 2020 MOMENTUMMEDIA

Government grants may end post-election: Adviser

Adam Zuchetti
Adam Zuchetti
05 March 2019 1 minute readShare
Australian Parliament House, Canberra

Government grants are likely to be suspended once the federal election is finally called and, pending the result, some may never return, a business adviser has warned.

“There’s a range of grants and support services that make it more affordable to invest in your business and achieve an excellent return on investment,” said Brendan Ryan, a director at business advisory firm dVT Group.

“And once the federal election is called, which is widely speculated to be May this year, the grants programs will go on hold, and depending on the election outcome, could all change.”

According to Mr Ryan, that only leaves a short window of opportunity for businesses to lodge their applications for grant funding, or face the prospect of a lengthy wait until the new government, however it looks, reveals its policy agenda around SME support as well as its time frame for implementing any changes.

“SME owners really have until about the end of March before the federal government goes into pre-election caretaker mode, where all grant applications will go on hold until after the election,” he said.

“Then if we have a change to Labor, the program may be completely revamped. So the window of opportunity is short.”

In its budget last May, the government announced a raft of new grants and incentives for SMEs, including $20 million in SME export hubs, a Sovereign Industrial Capability Priority Grants Program for the defence sector worth up to $17 million per year, and an unspecified amount of funding to support the burgeoning fintech sector.

On the flip side, however, the government was late last year accused of trying to change the R&D tax incentive by stealth, after earlier attracting criticism for plans to restrict access to the scheme.

Government grants may end post-election: Adviser
mybusiness logo
Adam Zuchetti
Adam Zuchetti

Adam Zuchetti is the former editor of MyBusiness and a senior freelance media professional, specialising in the fields of business, personal finance and property. In 2020, he also embarked on his own business journey – inspired in part by the entrepreneurs and founders he had met through his journalistic work – with the launch of customised pet gifting and subscription service Paws N’ All.

Leave a Comment

Latest poll

How satisfied are you with the SME measures in the federal budget?