While the Yukon economy is showing signs of stirring back to life, the tourism sector is still reeling and on life support.

That was the word Friday morning from Tourism and Culture Minister Ranj Pillai at a news conference that announced many of the programs subsidizing tourism businesses will be extended.

Pillai said the construction industry and retail sectors are showing clear signs of growth, and the Yukon is one of two jurisdictions in Canada with a growing economy.

Tourism, though, is lagging behind.

“Indicators show we’re progressing well,” Pillai said. “Unemployment is among the lowest in the country, but tourism is not improving at the same speed.”

Accommodation bookings remain down, although recent weeks have shown hopeful signs of increasing, and airplane traffic is still down.

Pillai cited statistics showing accommodations bookings are down as much as 87 per cent, while airplane tourism traffic has plummeted 77 per cent.

“The sector has not rebounded, and the Yukon government needs to continue to provide support,” Pillai said. “The winter season will be very difficult.”

The continuing supports include the Great Yukon Summer program, which offers rebates to territorial residents travelling within the Yukon.

That program, which Pillai said was used by approximately 400 people so far, is being extended to the end of October.

It will then be replaced by a version for the winter the government is calling the Great Yukon Summer Freeze, which will extend until March 31, 2022.

Travellers will continue to have to spend a minimum of $250 on approved packages to be eligible for the 25 per cent discount.

The new winter packages will be available on Nov. 1.

Pillai said the government considered the Great Yukon Summer to be successful enough to continue, even though it pulled back on its promotions last summer due to the COVID-19 outbreak in June and July, as well as the wildfires and flooding situations.

Tourism officials deemed it somewhat inappropriate to be talking up the program too much due to those difficulties, Pillai said.

Still, he suggested it definitely had more potential to grow. The 400 claims for the program – indicating one per cent of Yukoners used it – represented approximately $1 million in revenue for tourism operators, Pillai said.

Considering that many communities were asking non-residents to stay away, that’s likely as much as could be expected out of the program.

A news release which accompanied Pillai’s announcement outlined in more detail what was happening with the various programs and initiatives aimed at keeping tourism operators in business.

“The Government of Yukon is extending critical COVID-19 support programs available to Yukon’s tourism sector. The Tourism Accommodation Sector Supplement (TASS) and Tourism Non-Accommodation Sector Supplement (TNASS) programs have been extended until March 31, 2022,” the release stated.

“The Tourism Accommodation and Non-Accommodation sector supplements were created to ensure the accommodations sector and other visitor-dependent businesses could access additional funding after they had exhausted other financial supports,” the statement added.

“The Tourism Accommodation Sector Supplement (TASS) provides up to $400 per room each month, up to the point of break-even for eligible accommodations businesses.”

As of last Tuesday, 24 Yukon businesses had TASS agreements for a total value of $1.5 million.

“The Tourism Non-Accommodation Sector Supplement (TNASS) provides Yukon tourism operators and food and beverage businesses that rely on visitors for at least 60 per cent of their revenues up to $60,000 to cover eligible expenses up to the point of break-even,” the release added.

As of last Tuesday, 69 Yukon businesses had TNASS agreements for a total value of $2.9 million.

The TASS and TNASS programs will now be administered by the Department of Economic Development.

The release suggest many businesses currently enrolled in the Yukon Business Relief Program may still be eligible for support through TNASS and should contact ecdev@yukon.ca for more information.

Pillai also announced the Yukon Business Relief Program and the COVID-19 liquor licensee discount will end this Thursday – as previously scheduled.

The COVID-19 liquor licensee discount will be replaced by an updated pricing structure to support restaurants and other businesses with liquor licences.

“As the Yukon’s economy recovers from the pandemic, it is important that our government adjust our support programs to meet the evolving needs of the business community,” Pillai said.

“Ending the Yukon Business Relief Program while extending support for visitor-dependent businesses will allow those still affected by reduced travel to get the help they need through the winter and encourage economic growth and self-reliance among non-tourism businesses.”

Up to $2,000 in funding is also still available for Yukon tourism businesses and operators who provide packages for the Great Yukon Summer and Summer Freeze to help promote their experiences and packages.