Retail NZ chief Greg Harford has called on the government to “step up support for retailers on a store by store basis,” to help those who operate across multiple regions weather the disruptions of the Covid-19 pandemic.

After welcoming the return of Auckland to Alert Level 2 from last Sunday morning, Harford said that although the retail sector has proven to be very resilient over the past year, each lockdown gets harder for businesses to manage. 

He said retailer confidence has slumped since mid-February.

“Retailers throughout the country have been impacted by the Auckland lockdown, partly because Aucklanders are unable to travel at Level 3, and particularly because the elevated Alert Levels have led to customers being more cautious in getting out and about.  Although online shopping is growing in significance, and was permitted at Level 3, the physical and social experience of shopping in person is still a key driver of retail spending, and the Auckland lockdown has had a chilling effect on retail right through the country.”

Harford said that while it was great that the Wage Subsidy is available to employers, the criteria are too tight to support everyone who needs help. 

“Some businesses will be significantly impacted in Auckland, but might not hit the 40-per-cent threshold across all their stores nationally, which means they miss out on support. 

“At the same time, a competing business that only operates stores in Auckland is advantaged by being able to access the Wage Subsidy.”