The Glen Innes economy could potentially receive a $3 million boost in the lead up to Christmas as a result of the Rudd Government’s emergency economic rescue package, which comes into effect on December 8, just 17 days before Christmas.

Announced on Tuesday October 14, the federal governments $10.4 billion injection is designed to protect the Australian economy from the effects of an impending global financial crisis, by stimulating spending.

Under the scheme more than 28 700 seniors and pensioners in the New England region can expect to receive once off single pension payments of $1400 and $2100 for pension couples. Meanwhile 12 597 local families receiving the Family Tax Benefit A will be eligible for one off payments of $1,000 for each eligible child in their care. The package is also designed to boost the housing market by allowing an estimated 44 693 households in the region to enter the property market by tripling the first homeowners grant. Further 56,000 new training places have been created nation wide.

Chamber of Commerce representative Richard Rowe declined to comment on how the boost to local families could directly help the local economy by promoting spending in Glen Innes stores.

While spending is expected to increase, Bob Kelly from the Community Centre said it would do little to combat the demand for welfare.

“People will spend the money on material things,” he said. “I can’t see it making that much difference for people on welfare. Welfare has been heavy this month and it will continue to get heavier as it gets closer to Christmas.”

Local ANZ Bank financial planner Lynelle Bower said if all of these payments are spent, it would provide an extraordinary boost to both the Glen Innes and the national economies. However, she said given the current uncertainty, it is highly likely that a lot of households will want to reduce debt or increase savings, rather than spend the payments.

“Each household receiving these payments needs to work out what is the best way to use these funds for their own particular circumstances. Never has there been a better time to seek qualified financial advice,” she said.