The federal government will halve the price of nearly 800,000 airline tickets as part of a $1.2 billion package aimed at getting more Australians to spend big on domestic holidays.
Key points:
- The government has revealed its package to assist the tourism sector during 2021
- Assistance includes subsidies for domestic air travel and money for Qantas and Virgin to stay ready for when borders reopen
- The government chose 13 locations for discounted flights, arguing these rely on tourism
The move is designed to prop up ailing parts of the tourism and aviation sectors, which have been hit hard by the coronavirus pandemic and which fear the end of the JobKeeper program later this month.
Between April and July, a 50 per cent discount on tickets will be offered for flights to and from 13 regions that normally rely heavily on international visitors.
The destinations are the Gold Coast, Cairns, the Whitsundays region, the Sunshine Coast, the Lasseter region which includes Uluru, Alice Springs, Launceston, Devonport, Burnie, Broome, Avalon, Merimbula and Kangaroo Island.
Routes and the precise number of tickets will be driven by demand and are still being discussed with airlines, but it is estimated an average of 46,000 half-price fares will be offered each week mostly with Qantas, Virgin and Jetstar.
They will be available for sale on airline websites from April 1.
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Senior government ministers hope this new package will encourage cashed-up Australians, who normally travel to Bali or Europe during Autumn and Winter, to instead spend their money at home.
They say a flight from Melbourne to the Gold Coast could be as cheap as $60 and boost traffic on the route by as much as 40 per cent.
ABC Kimberley: Andrew Seabourne
)“This package will take more tourists to our hotels and cafes, taking tours and exploring our backyard,” Prime Minister Scott Morrison said.
“Our tourism businesses don’t want to rely on government support forever.
bought Virgin for $3.5 billion in November.
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Zoos and aquariums will also have their financial support extended for another six months, while struggling small and medium businesses will also be eligible for loans worth up to $5 million over a 10-year period.
In recent days, the Labor Opposition has ramped up its calls for the Government to extend the JobKeeper program to specific industries, like tourism and aviation, warning of the potential for widespread job losses.
On Wednesday, Tourism spokesman Don Farrell said: “The Morrison Government is asking cash-strapped families to spend their money on saving Australia’s tourism industry when it isn’t prepared to do the same thing itself.
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