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Operators urged to comment on Sydney’s outdoor dining changes

The City of Sydney is seeking community input on significant reforms to change outdoor dining arrangements.

Outdoor dining on George Street. Photo Credit: Adam Hollingworth for City of Sydney.

Sydney’s hospitality operators have just one month remaining to provide feedback on proposed changes to the city’s outdoor dining program, with the consultation period closing on 12 March 2026.

The City of Sydney is seeking community input on significant reforms to make permanent many of the temporary outdoor dining arrangements introduced during the pandemic, while streamlining approval processes and reducing red tape for businesses.

Eligible businesses are ‘food and drink premises’ that prepare and sell food, drink or both for immediate consumption. This includes restaurants, cafes, takeaways, artisan food and drink premises, pubs, hotels and small bars.

Lord Mayor Clover Moore said the changes would transform Sydney’s streetscape while maintaining accessibility for all users.

“When the pandemic hit, we allowed businesses to set up dining areas on the road, with patrons protected by safe but unattractive concrete barriers,” Ms Moore said. “We want to remove those barriers and build beautiful, permanent spaces that will change not just the face of our city but how we experience it.”

The key proposals include establishing a process to convert temporary on-street dining areas bordered by concrete barriers into permanent footpath extensions where suitable, and to make the approval process easier by reducing notification requirements and eliminating duplicate applications.

Other changes would allow businesses greater flexibility in where they can place outdoor dining, including on both sides of a clear pedestrian path if space permits, and the ability to set up adjacent to neighbouring properties following consultation.

The reforms would also remove various restrictions, such as the requirement for patrons be seated at tables, and increase flexibility for planting and greening in dining areas. 

Businesses would receive five-year approvals where possible, providing greater certainty.

Since the free outdoor dining program began in 2020, the City has approved nearly 1,000 applications, creating approximately 13,000 square meters of new dining space and supporting more than 860 businesses. 

The total value of waived fees since November 2020 is around $20 million.

Three-quarters of participating businesses reported increased customer numbers and the need for additional staff, with more than one-third seeing a 20% increase in turnover.

The consultation period runs until 5pm on 12 March 2026, with feedback welcome by visiting: https://www.cityofsydney.nsw.gov.au/policy-planning-changes/your-say-proposed-changes-outdoor-dining.

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