Businesses expect to collapse

MOST Queensland businesses fear they’ll go bust within the next 12 months as the coronavirus-induced recession bites and government handouts are gradually removed.

The latest Suncorp Pulse survey, set to be released on Monday, paints a bleak picture of doing business in the Sunshine State, with owners and operators deeply pessimistic about a recovery anytime soon.

Conducted by the Chamber of Commerce and Industry Queensland, the warning from traders about the wholesale collapse of businesses throughout the state comes as the public remains on tenterhooks about another lockdown following a handful of recent COVID-19 cases.

One in five owners confess to running “zombie” businesses that would collapse within three months of support measures being removed, particularly the Federal Government’s JobKeeper payments.

The initiative has been extended until March but eligibility will be tightened and payments reduced from September.

The survey of almost 1200 businesses throughout Queensland found a further one in three were convinced trading conditions were so poor that they were at risk of shutting their doors permanently within 12 months as their cash reserves dwindled.

CCIQ general manager of advocacy and policy Amanda Rohan said the sliver of hope emerging from the lifting of restrictions meant there was now an impetus on the major political parties to unveil major economic blueprints ahead of the October 31 state election.