Travel agents who have gone more than six months without income are having cars repossessed and are facing pressure from banks — and many say only federal assistance can stop them going under. That has prompted Federal MP Pat Conaghan to meet with travel agents and says help could soon be on the way.
Allana Hancock, who owns a franchise at Forster on the New South Wales Mid North Coast, says it has been a horrendous time.
"Since March, we haven't earned any income; all we're doing is chasing refunds and cancelling bookings," she said.
"I've still got rent to pay, I've got to pay my electricity [and] the fees that we need to pay for our computer reservation systems."
Ms Hancock warns if businesses are forced to close people still waiting on refunds and credits for cancelled trips could be on their own.
"Without federal help, the travel industry, as far as travel agents, your bricks and mortar and your home-based agents, will close and there will be no support," she said.
"Then you've got people trying to get the refunds themselves without knowing how to navigate the whole system to get the money back themselves."
And Ms Hancock is worried for her future if help does not come soon.
"To put your heart and soul into a business for five years and work really hard to achieve something, and then, through no fault of your own, to have it all stripped away to the point where you're looking at financial ruin, it's scary," she said.
Grants and JobKeeper extension needed
National Party MP for Cowper Mr Conaghan has been meeting with travel agents in his electorate and around the nation.
"They're on the cliff face, they really are," he said.
"I'm hearing stories about cars being repossessed, banks putting a lot of pressure on.
"We need to act right now; today."
Mr Conaghan said in his discussions with the industry a $250 million support package had been proposed.
He said the proposed bailout included a focus on grants, but loans could also be available.
"That's the proposal I put forward to my party room and there was unanimous support there," Mr Conaghan said.
"The Deputy Prime Minister took it to cabinet."
He said there were also calls for JobKeeper to continue on the original rate of $1,500 a fortnight, for 12 months.
"These people were hit very, very hard from the first instance — they didn't close our borders, the Federal Government did," Mr Conaghan said.
"They've done a lot of heavy lifting and I think the Federal Government should do the same."
Hope for travel bubbles
Allana Hancock says she may soon start getting a small number of bookings as domestic borders begin to reopen, but what is really needed is international reopenings.
"Most of the people that I know around here, once the domestic borders are open, will take their caravans and go," she said.
"We might get a couple of Queensland bookings and stuff like that, but it's not going to be anything that's going to bring in a lot of money to keep the business rolling, not until the international borders are open.
"[But] I understand that for our own safety things have been closed down and I respect the Government for what they've done."
Mr Conaghan says cabinet is working on travel bubbles and he is hopeful about seeing some movement there in the New Year.
