Back in July, the City of Sydney confirmed that they’d be scrapping outdoor dining fees for restaurants across the city, making our alfresco summer dreams come true. Since then, we’ve seen tables set up on the street outside some of our fave venues around the city, Darlinghurst’s new golden girl Vin-Cenzo’s and Surry Hills stalwart The Crix being two prime examples. Now, there’s more good news to share, with The City of Sydney unveiling new proposals to lock in its outdoor dining revolution, making temporary setups permanent and cutting the red tape that’s long held back restaurants, cafés and bars from really claiming the footpath. If Council signs off and the period of public consultation goes to plan, the changes could totally transform how we eat, drink and hang out on Sydney’s streets.
As far as we can tell, the idea is simple: as long as there’s a pathway for pedestrians, businesses will get free reign to claim outdoor space for alfresco fun.
“We’re essentially flipping the script to supercharge outdoor dining,” said Lord Mayor Clover Moore AO. “Rather than telling businesses what they can do and where, we’re saying, as long as you keep a clear path and your neighbours are happy, we don’t want any red tape holding you back.”
Since 2020, when the city first allowed footpath and road space to be used by restaurants for free, the results have been big. According to City of Sydney stats, nearly 1,000 applications have been approved, creating 13,000 square metres of outdoor dining space and supporting more than 860 businesses. The waived fees (amounting to more than $20 million) have helped venues hire extra staff and boost turnover, and us bar-hopping civilians have benefitted from more spots to enjoy a glass of orange wine in the sun.
Now, proposals aim to make temporary Covid-era setups permanent, replacing those hefty concrete lumps with thoughtful, inviting streetscape enhancements. Key measures include allowing dining on both sides of a clear pathway, adjacent to buildings and curbs (where space allows); simplifying approvals; and giving businesses five-year permissions to plan with certainty. Plant boxes and large pots will be encouraged, making streets greener while keeping clear, accessible pathways for everyone, including people with prams or limited mobility.
Jeremy Blackmore, Creative Director at Mucho Group, says Foster Street has benefitted big-time from the outdoor dining outside Tio’s. “People can sit outside on both sides of the street, day and night. It’s made Foster St a more inviting place and added to its charm as a dining and drinking destination,” he said.
Business Sydney is also on board, with Executive Director Paul Nicolaou describing the potential changes as “a recipe for revolutionary improvements.”
Based on what we can tell so far, he’s not exaggerating. If Council approves, the proposals will open for public comment from January 12 until March 12 2026, giving Sydneysiders a chance to have their say in shaping the city’s outdoor dining culture. You can learn more over here.
Stay in the loop: sign up for our free Time Out Sydney newsletter for more news, travel inspo and activity ideas, straight to your inbox.