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Back|Fears of NT business closures after delayed dry season and proposed visa cuts
Fears of NT business closures after delayed dry season and proposed visa cuts
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ABC Top Stories·48 minutes ago·Business·3 min read·🇦🇺Australia

Fears of NT business closures after delayed dry season and proposed visa cuts

Northern Territory tourism operators are calling for a dedicated resilience fund and warning that new federal working holiday visa caps could devastate the industry.

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Northern Territory tourism operators met with federal shadow tourism minister David Littleproud in Darwin to urge a dedicated resilience fund for the wet season and warn that new federal working holiday visa caps will severely impact the industry.

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Why It Matters

Tourism operators in the Northern Territory are facing financial strain due to high fuel costs, reduced flights, and extreme weather, alongside new federal limits on working holiday visas.

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Tourism operators in the Northern Territory are advocating for a dedicated resilience fund to be set up to help businesses battling costly fuel, reduced flights and natural disaster recovery survive the upcoming wet season.

Representatives from across the Top End tourism sector met in Darwin today for a roundtable with federal shadow minister for tourism, David Littleproud, to discuss their concerns for the industry.

During the two-hour session, operators warned many small businesses and family-run tourism operators would struggle to survive the coming months following a difficult dry season period.

The rising cost of fuel, reduced flights and the impact of extreme weather earlier in the year which resulted in a delayed start to the tourism season were among the challenges raised at today's meeting.

"We are seriously concerned that rising costs and a compressed tourism season will leave small and medium operators without the cash reserves to survive the coming Wet," Tourism Top End chief executive Chris Chaffe said.

"These are local employers, family businesses and experiences that visitors come here for."

Tourism Top End, which represents operators in the northern half of the NT, is urging the federal government to establish a dedicated fund to assist businesses without enough cash to survive the wet season.

"That should combine tourism vouchers that generate additional travel and bookings, targeted wage support, coordinated payroll tax relief and tax payment arrangements, and interest-free loans for viable operators facing a temporary cashflow shortfall," Mr Chaffe said.

"Small grants should also be available where taking on more debt is simply not a workable solution."

Mr Chaffe said while immediate financial support was needed, policy changes were also necessary to tackle ongoing hurdles including the rising cost of flights and better management of Kakadu National Park, which is operated by the Commonwealth in partnership with traditional owners.

"We need action before businesses close their doors," Mr Chaffe said.

Warning immigration cuts could bring NT 'to its knees'

The roundtable came amid growing panic in the tourism sector over the federal government's recently announced immigration policy, which would see caps on working holiday visas.

The changes announced last week mean that backpackers will have to enter a ballot if they want to remain in Australia for more than 12 months.

The number of second-year visas will be capped at 45,000, while just 5,000 third-year visas will be issued, and in total Australia will welcome about 38,000 fewer second and third-year backpackers than it did in 2026.

Tourism Top End executive Samantha Bennett said the changes would have "severe impacts" on the NT's tourism, agriculture and hospitality sectors.

"7,200 backpackers came through the NT in the last financial year," she said.

"We need those workers who will come to the Territory in the three months we're busy."

Mr Littleproud echoed the sector's concerns and reiterated his plea for Labor to scrap the working visa changes, saying they would "devastate" the industry.

"It will bring the Territory to its knees and many other parts of the country to its knees unless they relent," he said.

The Coalition unveiled its immigration plan yesterday, describing it as the "biggest cut to immigration in this country's history".

Mr Littleproud denied the Coalition's immigration policy would hurt the Territory's economy, despite the NT government's budget strategy being heavily reliant on increased population growth.

"It's not true to say that just letting people in is the right thing to do," he said.

Open Questions

  • ?Will the federal government establish the requested resilience fund?
  • ?How will the proposed immigration caps be finalized?

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This article was originally published by ABC Top Stories.

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Northern Territory tourism operators met with federal shadow tourism minister David Littleproud in Darwin to urge a dedicated resilience fund for the wet season and warn that new federal working holiday visa caps will severely impact the industry.

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Published
48 minutes ago
northern territory
tourism
david littleproud
northern territory
David Littleproud
Chris Chaffe
Samantha Bennett
Tourism Top End
Coalition
Labor
Northern Territory
Darwin
Kakadu National Park
Australia
tourism
david littleproud
working holiday visas
tourism top end
chris chaffe
darwin

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