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Sunday, October 25, 2026

Sydney to boost outdoor dining

The City of Sydney is proposing key changes to its successful outdoor dining program to ensure the outdoor dining revolution is here to stay.

The proposals cut red tape to make it easier for businesses to set up an outdoor dining area and give them a greater say in how they use the space. It will also make temporary on-street dining spaces permanent across much of the city.

“We’re essentially flipping the script to supercharge outdoor dining,” said Lord Mayor of Sydney, Clover Moore AO.

“Rather than telling businesses what they can do and where, we’re saying as long as you keep a clear path people can get through and your neighbours are happy, we don’t want any red tape holding you back.”

The proposal

The main proposals include:

  • establishing a process to turn the on-street areas currently bordered by concrete barriers into permanent footpath extensions
  • providing a more certain and effective clear path of travel on the footpath for all users
  • allowing businesses to set up outside adjacent properties, following consultation
  • allowing dining on both sides of the clear path, against a building and curb, if space permits
  • making the approval process easier and quicker by reducing the need for notification and removing duplicate application processes
  • removing red tape such as rules around no standing without a table or shelf, or additional requirements for food, toilets and heaters
  • increasing flexibility to place planter boxes and large pots for greening in these areas
  • increasing business certainty with five-year approvals, where possible.

If endorsed by Council, the updated guidelines will be open for an extended period of public feedback to ensure the whole community can have a say on the future of outdoor dining in Sydney.

Supporting business

Business Sydney Executive Director Paul Nicolaou said the program would support local businesses and city vibrancy.

“The City of Sydney changes to street dining arrangements are a serious effort to energise the vibrancy of the city building on the earlier decision to lift fees for outdoor dining,” he said.

“The changes are a recipe for revolutionary changes including cutting regulation to a minimum, encouraging flexibility and imagination and improving streetscape amenities.

“Business Sydney also sees the great potential for boosting Sydney as a 24-hour global city. Enabling operators to obtain five-year approvals is a great step forward as is replacing current concrete “bunker” arrangements with attractive street enhancements,” said Mr Nicolaou.

Outdoor boon for business

Lord Mayor Clover Moore said outdoor dining has become an essential part of Sydney’s dining culture, street vitality and nightlife.

“Since 2020 when we began offering public footpath and roadway space to businesses free of charge, we have approved nearly 1,000 applications, creating an estimated 13,000sqm of new space on roads and footpaths, supporting more than 860 businesses. The total value of support we have given businesses by waiving footpath and on-street outdoor dining fees since November 2020 is around $20 million,” she said.

“People really embraced it, with businesses telling us they took on extra staff to cope with increased patronage. Three-quarters of participating businesses have said the boost in customer numbers meant they needed to hire more employees, with more than a third seeing a 20% increase in turnover.”

Following endorsement by Council, the proposed outdoor dining guidelines will be open for public comment from 12 January to 12 March 2026.

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