Planning for the future

A revolution in outdoor dining on the menu

Proposed changes for less red tape to support local businesses and our social and cultural life.

People sit and talk at outdoor tables under blue umbrellas outside a colorful, mural-covered restaurant on a city street. Tio's on Foster Street, Surry Hills. Image: Jessica Lindsay

Sydney’s outdoor dining scene is set for another big leap forward. We're proposing key changes to make alfresco dining simpler, more flexible and accessible for everyone.

The changes will make it easier for businesses to set up an outdoor dining area and give them a greater say in how they use the space. We're also developing a process for turning temporary on-street dining areas currently bordered by concrete barriers into permanent spaces.

Our updated guidelines will be open for an extended period of public feedback from early 2026.

"We're essentially 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."

Lord Mayor of Sydney, Clover Moore AO

Stanley Street, East Sydney. Image: Hugues de Robillard
Stanley Street, East Sydney. Image: Hugues de Robillard

A boost to Sydney's outdoor dining culture

The changes will help make it easier to:

  • apply for outdoor dining permits 
  • use more footpath space for tables and chairs 
  • ensure clear paths of travel for everyone 
  • share unused footpath space in consultation with a neighbouring business 
  • add greenery with planter boxes.

Plus we're removing rules around no standing without a table or shelf and other requirements for food, toilets and heaters.

“Making outdoor dining free and easy for businesses was a lifeline during the Covid pandemic and it has been incredibly popular with the community. This year we removed fees forever, now we’re cutting leftover red tape to ensure the outdoor dining revolution is a part of Sydney’s streetscape forever,” the Lord Mayor said.

The Lord Nelson, The Rocks. Image: Adam Hollingworth
The Lord Nelson, The Rocks. Image: Adam Hollingworth

Thriving neighbourhood streets here to stay

“Our priority is to ensure the city continues to have thriving outdoor dining spaces while maintaining sufficient space for others, including people with disability, those pushing prams or people with limited mobility,” the Lord Mayor said.

Public footpath and road space has been offered to businesses free of charge since 2020. To date, we've approved nearly 1,000 applications, created an estimated 13,000sqm of new space on roads and footpaths, and supported more than 860 businesses with around $20 million worth of fee waivers.

Three-quarters of participating businesses have said the boost in customer numbers meant they needed to hire more employees, with more than one third seeing a 20% increase in turnover.

The proposed outdoor dining guidelines will be open for public feedback from 12 January to 12 March 2026. Find out more.

Published 16 December 2025, updated 17 December 2025