Treasurer Josh Frydenberg has urged Australia’s states and territories to pitch in with helping the massive economic toll COVID-19 is having on the nation.

Speaking to media in Victoria, Mr Frydenberg suggested that states start unrolling “shovel ready” projects in which people who have become unemployed as a result of the virus could work.

Additionally the Treasurer called on state governments to introduce economic initiatives such as grants for small businesses.

Treasurer Josh Frydenberg is reversing the tougher eligibility rules announced less than three weeks ago to ensure more companies can qualify for the JobKeeper payment, which drops to $1200 a fortnight from September. (Jamie Brown)

“The states can do more, the states need to do more,” Mr Frydenberg said.

“(They could be) using their tax system with payroll tax relief, land tax relief.”

When asked about the outbreak of the virus in Victoria, Mr Frydenberg stressed that an investigation into the state’s disastrous hotel quarantine must be made.

“There have clearly been very serious failures when it comes to quarantine in Victoria,” he said.

“They (Victorians) know the what, but they don’t know the how and the why, when it comes to quarantine failures.

There are currently 533 people hospitalised with COVID-19 in Victoria, including 42 who are critically ill in Intensive Care Units. This is a breakdown of these cases by age. (9News)

“It’s very frustrating to so see failures such as those. There needs to be accountability, there needs to be an explanation.”

He said he would not comment on the performance of Victorian Premier Daniel Andrews, but said there had been “deadly consequences”.

Police conduct a spot check at a Melbourne home. (Victoria Police)

“I’ll leave that to the Victorian Government to deliver that explanation.”

Such is the impact of the second wave in Victoria that the Federal Government now estimates that a quarter of all Australians receiving JobKeeper will be Victorian.

“The Morrison Government is providing unprecedented support to Victorians and Australians. $13 billion will flow into Victoria’s economy as part of JobKeeper,” Treasurer Frydenberg said.

“The expectation is of the 4 million Australians who will be on JobKeeper, 1 million of them will be from Victoria.”

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