"NSW will be taking an important, critical and big step from June 1 - pubs, cafes, restaurants and the like will be able to have up to 50 patrons", Premier Gladys Berejiklian announced on Friday morning.
'You have to be seated at the table, you have to be served at the table, ' Ms Berejiklian said.
"The task force reported to me that, through consultation with the industry, there was too much confusion in having a further step in the approach", she said of her decision. Venues will still need to adhere to the four-square-metres-per-person rule, meaning that small bars and eateries might be restricted in how many patrons they can admit.
Gladys Berejiklian made the annoucement on Friday afternoon.
"Nobody will be able to take bookings of more than 10 people".
Patrons will also need to be seated while inside the venue.
Diners will have to register their name and phone number when they enter the premises so they can be contacted in the event of a coronavirus outbreak.
'It's our happy hour, time to wine and dine, ' he said.
People in Australia must stay at least 1.5 metres away from others. "We don't want to see the transmission of COVID in the regions", Mr Barilaro said. Currently, venues are permitted just 10 patrons at one time.
NSW Treasurer Dominic Perrottet said the move would return "thousands" of jobs back to NSW.
Health Minister Brad Hazzard has assured that the right guidelines will be in place.
Two men enjoy schooners at Sydney's oldest pub, Fortune of War under current restrictions.
"New South Wales has always led the way, and again New South Wales is leading the way".
He said patrons should be "washing your hands like you've never done before".
The increase in patronage aligns with the easing of regional travel restrictions across the state and the opening of museums, galleries and libraries from June 1.
Ms Berejiklian said any venue found breaching the rules would be shut down.
"The way that we're moving forward is in a cautious and sensible way".
In a statement, Australian Hotels Association NSW chief executive John Whelan said 94 per cent of the hotels' workforce had been stood down or sacked - but from June 1 the industry could start re-employing staff.
"Today's announcement is a common sense move - it will be particularly welcomed by our NSW country hoteliers as regional NSW opens again for travellers".