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NSW to review red tape burden on cafes and restaurants

The NSW government will review unnecessary bureaucratic hurdles for the state’s more than 50,000 food retail operators.

The New South Wales government has announced a review aimed at cutting unnecessary bureaucratic hurdles for the state’s more than 50,000 food retail operators, with the NSW Productivity and Equality Commissioner tasked with identifying red tape that frustrates daytime hospitality businesses.

The review will examine areas where cafes, restaurants and local shops encounter unnecessary administrative burden, including licences and permits, reporting requirements and inspections. 

A final report with recommendations is due to the government in late August 2026.

Treasurer Daniel Mookhey framed the initiative as a productivity exercise rather than a deregulatory one. “When we cut red tape, we free up time, reduce costs, and let small businesses focus on what they do best,” he said.

The government said the review draws on lessons learned from its work simplifying approvals in the night-time economy, with the aim of applying similar thinking to daytime operators statewide — from Newtown to Narrabri and Bankstown to Ballina.

Minister for Small Business Janelle Saffin said the goal was straightforward. “We want our business owners focusing on their customers and their craft, not spending more time than they need to on paperwork.”

The government was clear that the exercise is about removing duplication rather than weakening standards, with safety and consumer protections explicitly off the table. 

The review will involve direct engagement with affected businesses before recommendations are delivered.

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