The Australian government is partnering with businesses and financial institutions to ease the impact of rising costs and supply chain pressures on Australian families and small businesses. New tax relief, easier credit access, and targeted industry support aim to help those struggling during the economic fallout from the Middle East conflict.
The Australian government is collaborating with the business and finance sectors to ease pressures on families and small businesses caused by the economic impact of the Middle East conflict. On 1 April 2026, it announced a package of measures, working with industry and financial institutions, to help households and small businesses affected by recent fuel and supply disruptions.
Flexible tax measures for businesses
The Australian Taxation Office (ATO) will offer temporary relief for businesses affected by fuel supply disruptions. Measures include:
- More flexible payment plans
- Remission of interest and penalties
- Adjusted PAYG instalments for businesses with reduced income
Some compliance actions will be limited in the hardest-hit industries, and certain debt collection actions may be paused. A dedicated channel will be set up for businesses to access support, with registered tax professionals able to assist on their behalf. The ATO will continue supporting individuals facing serious financial hardship as Tax Time approaches.
Easier access to credit for small businesses
Small businesses will benefit from an extended 10-year exemption from the Small Business Responsible Lending Obligation. This ensures faster access to loans without additional regulatory delays or burdens.
Industry support and hardship programmes
Banks, non-bank lenders, and peak industry bodies are taking action to assist customers, suppliers, and employees affected by cost pressures and supply chain disruptions:
- Temporary payment deferrals, loan restructuring, and emergency credit limit increases for eligible customers
- Campaigns like Don’t tough it out on your own – banking support when it matters most to raise awareness of available options
- Businesses are paying suppliers more promptly and adjusting for higher fuel costs
- Targeted support for vulnerable customers, including bill pauses, tailored payment plans, and account reviews
The Insurance Council of Australia (ICA) is coordinating sector-wide strategies to manage potential supply chain disruptions and advising small businesses on premium adjustments.
Australians experiencing financial hardship are encouraged to contact their bank, energy provider, telecommunications company, or insurer to discuss support options. The Government will continue working closely with industry and regulators to help Australians navigate this challenging period.
