Public library funding

Last updated:  08 August 2024

The State Library of NSW administers annual funding to NSW public libraries on behalf of the State Government.

NSW councils that have adopted the Library Act and provide services in accordance with the Act are eligible for this funding. Local libraries receive subsidies and grants approved by the Minister for the Arts on the recommendation of the Library Council of NSW.

2024/25 library funding

The Minister for the Arts the Hon John Graham MLC has approved the Public Library Funding Strategy for 2024/25.

The total funding for this year is a record $41,326,000.

The allocations were recommended to the Minister by the Library Council of NSW after consultation with the Library Council's Public Libraries Consultative Committee.

The 2024/25 allocations under the Public Library Funding Strategy are as follows:

ComponentAmount
1Subsidy - $2.85 per capita
Population served 8,339,515
$23,767,618
2Subsidy Adjustment Funding
Allocations to councils in addition to the $2.85 per capita (above)
$7,700,052
1+2Sub-total - payments to councils$31,467,670
3NSW.net$2,200,000
4Outback Letterbox Library$200,000
5Statewide projects$200,000
6State Library services to public libraries$1,258,330
7Grant program$6,000,000
 Total Public Library Grants and Subsidies$41,326,000

Payment amounts by Council

Subsidy Adjustment calculation

All councils receive funding in addition to the per capita payment, called the Subsidy Adjustment. This ensures that councils with small populations receive a meaningful payment, and that all councils (including large councils) have access to project funds to address identified community need. Councils must spend at least 30% of the Subsidy Adjustment on approved projects which directly benefit the public.

Notes on the Subsidy Adjustment model

The Subsidy Adjustment model was developed for use from 2019/20, with the aim of providing a fair share of funding for all councils regardless of population size. The model recognises that councils with medium to large populations receive significant funds through the per capita payment, while councils with small populations do not, and need another component to ensure a meaningful payment.  

Approximately half of the State’s councils have populations below 20,000 people. Per capita funding of $2.85 per head alone would not provide a payment of any significance to these low-population councils.

The model provides a flat rate payment of $50,000 per council. Councils with populations below 150,000 people receive an additional sum of between $7,625 and $18,000 per council dependent on its position on the Socio-Economic Indexes for Areas scale (SEIFA) developed by ABS.

The subsidy adjustment model is varied each year depending on available funds.