NSW Treasurer Dominic Perrottet said the northern beaches community and its businesses had played an important role in controlling the spread of the virus, which was stamped out in 43 days.

“After almost 12 months we continue to battle the impacts of COVID, both in a health sense but also from an economic perspective and that is why we are providing targeted and temporary financial assistance to those impacted by the recent lockdown,” he said.

Small Business Minister Damien Tudehope said the government was taking a tiered approach to the grants because “some businesses have been hit harder than others.”

He said the grants were designed to cover unavoidable costs, like utilities, rent, financial or legal advice.

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The program will come alongside greater promotion of attractions in the area and inclusion of the region in the pilot for the government’s $500 million restaurant voucher program.

Cash grants were among ideas raised in January at emergency meetings with local businesses, who criticised the government for not having a plan to support businesses in the case of an emergency lockdown.

“Most small businesses are sitting on about two weeks of cash ... we will have to hang on ... and work with landlords, suppliers, customers. But every day is a week in small business land,” Frenchies Brasserie owner David Singer said last month.

Other measures suggested by business representatives at the time included tax rate discounts, rental relief and qualifying for another round of the federal JobKeeper program.

Minister for Planning and Public Spaces and Member for Pittwater Rob Stokes said the package would ease the strain on many businesses.

Member for Manly James Griffin said the grants would make a big difference for many hospitality and tourism businesses in his electorate, but stressed “time is of the essence.”

“All the support measures will be really welcome and the sooner they are available the better,” he said.

Health Minister and Member for Wakehurst Brad Hazzard also welcomed the package for businesses for doing what was necessary to shut down local transmission.