Hardship fund for businesses hit by Auckland City Rail Link delays 'a welcome step'

October 31, 2019

Tavern owner Sunny Kushal and florist Jugdish Noran face ongoing disruption from the works on Albert Street.


Businesses say the devil will be in the detail of the Government's promised hardship package for those seriously affected by delays to the City Rail Link project in Auckland.

A number of companies in Auckland's city centre have been pleading for help for six months after massive financial losses due to construction works on their doorstep along Albert and Victoria streets.

The City Rail Link group, which is building the $4.4 billion rail tunnel, will decide on how much money will be in the hardship fund, and the amount of money available will be capped. The funds will come out of CRL's existing budgets.

Hardship grants will be available for businesses deemed to be suffering "exceptional hardship" and the criteria will be tough.

Transport Minister Phil Twyford says the grants will only be paid to businesses negatively affected by the delay in construction and the businesses will need to open their books to demonstrate they were commercially viable before the works started.

Sunny Kushal, owner of the Shakespeare Tavern on Albert Street says the news is welcome, but they are waiting on more details before passing a final judgement.

"It has taken a long time for the Government to come, but it is a welcome step," Mr Kushal told 1 NEWS.

"But we are still waiting for the details to come forward - what kind of funds they are and what is going to be the criteria, how it is going to be administered."

Auckland CBD business owners are unhappy with ongoing disruption from the City Rail Link construction.

Jugdish Noran of Roma Blooms Florist on Albert street has similar questions about the hardship package.

"How are they going to implement it to each individual retail business, as we are an impulse business as opposed to a place that you directly have to go to," Mr Noran said. 

"And we are going to be disturbed so much more in the future as the works are coming up here," he added.

Auckland Mayor Phil Goff said he's pleased the Government has agreed to the council's proposal to set up a capped fund targeted at those facing exceptional hardship. 

"For those small business owners and their families this will be an enormous relief," Mr Goff said.

CRL will now finalise eligibility criteria and continue to work with Albert Street businesses.

Meanwhile, Mr Twyford said he has also asked the Ministry of Transport to investigate options for business support in relation to other public transport projects, so that clear support and criteria is known from now on at the beginning of future projects.

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