City of Sydney proposes less red tape for outdoor dining – hospitality

The City of Sydney has proposed a series of changes in an effort to reduce red tape on outdoor dining.

The proposals aim to make it easier for businesses to set up an outdoor dining area to ensure the Covid-induced increase in outdoor dining stays. It will also make temporary on-street dining spaces permanent across much of the city.

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

Lord Mayor of Sydney, Clover Moore AO says the move is “flipping the script to supercharge outdoor dining”.

“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,” says Moore.

The Mayor says businesses have had to use “reasonably ugly” concrete barriers to protect patrons. Now, she wants to remove the concrete barriers in favour of more visually appealing, permanent spaces.

Moore points out that making dining free and easy during the pandemic was a lifeline for many businesses, and proved popular with the community.

The City of Sydney waived outdoor dining fees earlier this year. “Now we’re cutting leftover red tape and making temporary spaces permanent to ensure the outdoor dining revolution is a part of Sydney’s streetscape forever,” says Moore.

Mucho Group Creative Director and Co-Owner Jeremy Blackmore, who runs Tio’s on Foster Street in Surry Hills, says the street feels much more alive since the introduction of outdoor seating.

“People can sit outside on both sides of the street, during the day and at
night. This brings so much energy to the area. I think it has made Foster St a more inviting place and added to its charm as a drinking and dining destination,” says Blackmore.

The proposed outdoor dining guidelines open for public comment from 12 January to 12 March 2026. Find out more here.

Photograph by Jessica Lindsay / City of Sydney.

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