Decision details

That Council:

1.       Notes that outdoor dining plays a critical role in activating streets, increasing passive surveillance, supporting local hospitality businesses, and enhancing the liveability and vibrancy of the Adelaide CBD.

2.       Notes that hospitality businesses continue to face sustained cost pressures, including rent, wages, utilities, insurance, and compliance costs, and that outdoor dining permit fees represent an ongoing financial burden on compliant operators.

3.       Notes that previous Councils have waived or reduced outdoor dining fees during periods of economic pressure in order to support business viability and stimulate economic activity within the city.

4.       Notes that removing unnecessary barriers and costs to business is consistent with Council’s strategic objectives relating to economic development, city activation, and a thriving CBD.

5.       Requests that the CEO prepare a report to Council on potential barriers that may discourage or limit outdoor dining potential, as well as options to remove these barriers such as the permanent removal of outdoor dining permit fees for compliant hospitality businesses within the City of Adelaide.

6.       Requests that the report include:

a)       The current revenue generated from outdoor dining permit fees including parklets.

b)       The financial impact of permanently removing those fees.

c)       Criteria introduced if the fees were permanently waived or incentivised i.e. removable furniture, standard furniture/infrastructure/plant boxes, building lines .

d)       Any implications for public safety, accessibility, pedestrian movement, and amenity.

e)       Examples of comparable approaches adopted by other councils, including Australian capital city councils.

f)       An assessment of other barriers, including application complexity and timeframes, space and operational constraints, compliance and insurance requirements, disruption from works or events, weather impacts and environmental factors, low street foot traffic, and a lack of awareness of permit opportunities.

g)       Identification of areas within the City of Adelaide where outdoor dining potential has been consistently unrealised, including contributing factors.

7.       Notes that any removal of fees would apply only to businesses that:

a)       Comply with Council’s outdoor dining guidelines and permit conditions.

b)       Maintain safe and equitable pedestrian access, including disability access.

8.       Requests a workshop be presented at the City and Finance Committee on 17 March 2026, with the outcomes of the report to be subsequently considered through the appropriate Committee and budget process, with a view to implementation as soon as practicable if supported by Council.

Undertakings - Councillor Cabada - MoN - Removal of outdoor dining fees to support business, activation and city vibrancy

In response to queries from Council Members, undertakings were given to provide Council Members with information on the following:

·            Possibility of decreasing the cost of outdoor dining during the winter months

·            Regulatory Permit process

·            Removable furniture policy

·            Average size