The calls come as the New South Wales government announced a $1 billion support package on Sunday for businesses affected by the Omicron outbreak.

The NSW program will provide a payment of 20 per cent of weekly payroll costs to small to medium size businesses that had a 40 per cent or more decline in turnover in January.

Some Ballarat businesses and industry leaders are calling for a similar relief package for Victorian businesses, as the Omicron outbreak continues to affect staffing, opening hours and customer numbers.

Australian Hotels Association Victoria president from Ballarat's Red Lion Hotel David Canny said a Victorian relief package was 'absolutely' needed and he was waiting on a government announcement.

"Support is needed to cover costs of staff absenteeism and sick leave and the reduction in demand we have seen across the board in business," he said.

"Technically we are open and we want to stay open and trade our way out but you can't do that without business support. New South Wales has recognised this."

Frank Ford Travel owner Kylee Ellerton said she and other industry members were lobbying government for more financial support for the travel sector.

"We are probably in a worse situation than we were two years ago. We don't get paid until the clients travel and there is no one travelling, everyone has lost confidence," she said.

"We have bookings for June July, but we don't get that money until then. All the travel agencies are going to run out of money."

Ms Ellerton said it had been another stressful period with people cancelling their holidays, airlines cancelling and rescheduling flights and people over Christmas not getting their test results in time to travel.

She said many people had been stuck on holiday with COVID and travel agents were putting in a lot of work to reschedule flights and extend accommodation.

"We have to do all that for free. How am I going to pay my staff? I am putting my own money into it, the little bit we have.

"There are other agencies out there and some aren't going to make it. We have had some support from the government but not enough.

"It is a fight all the time, I am over it. Our customers need us, they need help and support. To go overseas is a nightmare with all the rules and regulations. If we are not there to help them how are they going to do it?"

The latest ANZ-Roy Morgan survey revealed Australian consumer confidence sunk to its lowest rate in mid-January since October 2020.

Experts say it is unclear how long the effects of Omicron will sap consumers' urge to spend.

Racers Cafe owner Adam Rasmussen said staffing had been a massive challenge over the past month, with less staff meaning he had to cap customer numbers, leading to a reduction in turnover.

"I can remember the days where we would be at capacity and it is certainly not like that this summer," he said.

"A lot of places are closed or have reduced hours. Some people are closing a few days a week and some have had to close for a couple of weeks during what should be our busy time."

Mr Rasmussen said payroll costs had increased because he was having to pay sick leave for full-time staff in isolation while also paying another wage to cover their shifts.

Extra public holiday days, meaning two-and-a-half times pay, have been another hit.

"Because the government has not mandated a lockdown, perhaps they don't feel like they are responsible for a downturn in income," he said.

"All the lockdowns we had previously they supported really well."

Turret Cafe owner Carmel West said she too was seeing a downturn in customer numbers with reduced confidence and people choosing to isolate.

She said staffing had also been an issue, but the cafe had been lucky and 'dodging bullets' so far, meaning it did not have to shut or reduce hours like many others.

Ms West said it was tough for businesses, but she could not see the Victorian government continuing to fund business support, as it was not feasible to frequently commit millions of dollars to keep businesses afloat.

"We have to adjust every day and working towards it getting stronger and hope that it does," she said.

"It is not easy for a lot of businesses, or anybody at that the moment. We are at that point in the whole scheme of things that we just have to get through it."

Commerce Ballarat treasurer and board member Ewen Fletcher said the organisation supported a call for a similar business support package to New South Wales rolled out in Victoria.

He said it needed to be targeted at industries hardest hit, which included hospitality and then retail.

"Those tests that were provided in yesterday's announcements for New South Wales would make sense for Victoria," he said.

Businesses with a turnover of between $75,000 and $50 million that experience a 40 per cent decline in January will be eligible for New South Wales business support.

The federal government did not support New South Wales in co-funding the business relief package.

"Ballarat businesses are very resilient, they always have been. This would help them get back on track," Mr Fletcher said.

"Absolutely we have fears some businesses won't get through this."

City of Ballarat chief executive Evan King said the city has previously advocated to the state government for business relief throughout the pandemic and would continue to advocate for additional support.

"The City of Ballarat track overall impacts based on expenditure transactions for Ballarat, which gives us an idea of industry-wide impacts," he said.

"Since March 2020, understandably less money has been spent in businesses across Ballarat compared to what we would expect based on the pre-COVID spending levels in Ballarat.

"That said, overall expenditure in Ballarat recovered to two-year highs in both October and November 2021, but was still below pre-COVID levels for dining and entertainment and for travel.

"We do not yet have the data to indicate expenditure for December and January, so the impact of the Omicron wave is not yet apparent in the data."

Mr King said City of Ballarat was providing support to business through grants, rate payment deferrals, waiving outdoor dining and A frame signage permit fees and free use of outdoor space for fitness classes.

The Victorian Government extended its commercial tenancy relief scheme mid-January, providing rent relief and protections for commercial tenants and landlords experiencing hardship through the latest outbreak.

Businesses with an annual turnover of $10 million or less and have suffered a decline in turnover of at least 30 per cent due to COVID-19 are eligible for the scheme.

Landlords are required to provide continued proportional rent relief in line with a reduction in turnover: a business with a turnover of 40 per cent of pre-pandemic levels could only be charged 40 per cent of its rent.

There is also a freeze on rent increases and a moratorium on evictions.

The Courier has contacted the Victorian Government for comment.

Commerce Ballarat is continuing to support business owners and staff through free access to mental health practitioners.