Capital businesses react to level three

There’s a sense of cautious optimism among Wellington businesses after the Government announced New Zealand would move to alert level three on Monday, April 27.

Wellington Chamber of Commerce chief executive John Milford called the move to level three ‘‘a step in the right direction’’ but said more details were needed to ensure businesses could operate safely while practising social distancing.

He said the decision to extend the current lockdown until after the Anzac weekend ‘‘allows businesses to return to undertake preparations, giving them time to reopen and better understand the level three requirements’’.

‘‘We don’t want to lose the gains we have made and have to return to level four restrictions again. It is incredibly important we maintain distances and only enter premises if absolutely necessary,’’ he said.

Wellington Mayor Andy Foster said going to level three was a good sign, but had his eyes squarely focused on level two as the target for when most businesses could resume operating as normal.

‘‘It’s obviously really good news that we’re seeing progress in our war against Covid-19. There hasn’t been any new cases in Wellington since April 16th, so congratulations to everyone for doing the right thing,’’ he said.

‘‘We don’t want to squander the gains we have made. We still have to win this thing – we might be winning but we haven’t won yet.’’

Level three would allow some council construction projects to return.

Further details will be announced tomorrow but not a lot else is expected to change for the council compared to level four.

Pools, libraries and recreation centres are all likely to remain closed under level three.

One notable exception is Makara Peak mountain-bike park, which Foster hinted could open under ‘‘specified conditions’’.

The hospitality sector is among the most affected at level three, with most businesses having to adapt their services. ‘‘We’ve got to allow business to resume as much as normal but without ruining physical distancing.’’

Hospitality groups had lobbied him to allow on-licenses to sell alcoholic drinks with takeaway food, he said.

Foster had written a letter to Justice Minister Andrew Little asking for the matter to be considered.

Hospitality New Zealand had also asked Little for the legislation to be

changed, saying it would allow businesses to provide a ‘‘restaurant at home’’ experience.

Chief executive Julie White said the level three restrictions would be too strict for many businesses to open again, and those that could open would still struggle financially.

‘‘Even for those that can operate during level three, it is very unlikely that their revenue will cover costs like rent. Most are already carrying a debts from losses they’ve been incurring since tourist numbers started dropping in January.’’

White said as many as 30 per cent of hospitality businesses would not make it through the year without further government assistance.

‘‘The wage subsidy alone is not enough with the losses the hospitality industry has been carrying for much longer than other businesses — in many cases, these businesses won’t be here for 12 weeks to pay the subsidy.’’

‘‘We still have to win this thing – we might be winning but we haven’t won yet.’’

Wellington Mayor Andy Foster