Are government grants enough to save Sydney's live music scene?

MoshPit Bar closure sparks questions of live music venue government grants Fri 31 Jul 2026 at 11:01am In short: A live music venue in Sydney's inner west recently announced its closure, citing rising costs and falling revenues. The state and federal governments have invested millions in live music venue grants, including about $180,000 for the Erskineville bar over the past few years. What's next? Federal Arts Minister Tony Burke announced another $12 million would be invested into the Revive Live grant scheme. The announced closure of a beloved inner west Sydney live music venue has prompted questions from the NSW shadow arts minister about the effectiveness of government grants trying to stem the loss of music spaces. Erskineville dive bar MoshPit Bar announced this week it would be shutting its doors in November, citing rising operating costs and declining revenues. The venue on Sydney's King Street nightlife strip had received more than $100,000 in NSW and federal government grants over the past few years to improve music infrastructure. It received $64,000 from the federal government's Revive Live grant scheme last financial year to cover equipment, infrastructure and accessibility costs. In 2024/25 it received $87,000 from NSW government to improve accessibility, ventilation, equipment and soundproofing. It had also received $30,000 in 2023 to bill emerging bands and support rising talent from the federal government's Live Music Australia program. MoshPit owner Mitchell McLennan said the grants made a difference in improving the venue's stage and soundproofing, but could not keep the venue open alone. "The cost of alcohol goes up every six months and people feel it," Mr McLennan said. "A schooner of beer's $11, it's a huge amount. "People are just staying home." Cost pressures should be addressed by grants: opposition Shadow arts minister Chris Rath said the $87,000 NSW grant went towards "enhancing accessibility" when the venue's closure came from rising costs. "Why weren't the actual drivers of venue considered when this grant was approved?" Mr Rath said. "The minister needs to be able to assure the public that when a substantial amount of their taxpayer funds is invested in something, there is a transparent process for how it will deliver lasting value." Mr Rath said the Liberal opposition would help Sydney's nightlife by cutting payroll tax for small and medium businesses. Federal minister says grants are worth the risk Federal Arts Minister Tony Burke told 702 ABC Sydney that investing in MoshPit through the grants was worth the risk. "Even though they're private venues, every extra bit of assistance at the moment makes a difference," Mr Burke said. "It is devastating when we lose one, but we are determined to make sure that that live culture throughout the country is something that survives. "You've just got to take the risk and keep investing and keep providing because for a whole lot of venues, that investment actually will be the difference." Mr Burke announced on Thursday another $12 million was being put into the Revive Live grant scheme to back venues across the country. NSW Arts Minister John Graham was approached for comment. The NSW Labor government gave $5.1 million to 39 venues in 2024/25 to upgrade music venues' soundproofing, energy efficiency and AV equipment. Concerns over number of live music venues Joe Hardy, who co-founded Sydney's most comprehensive gig guide SydneyMusic.net, said of the 373 different venues that put on gigs last financial year, just 19 hosted 100 or more shows, including MoshPit Bar. Mr Hardy said it was disturbing that Sydney was losing venues that consistently put on live music. "That is where I start getting into red flashing alarm bells territory,"Mr Hardy said. "Venues in their successful eras gone by were always uniquely the hosts of communities, they weren't just spaces for hire." Mr Hardy said he was seeing live music take off in non-traditional spaces where the government live music grant programs may have been overlooking. "I think punter preferences are changing," Mr Hardy said. "I don't think that throwing stimulus money at venues is necessarily going to save the venues. "We kind of need to think bigger in terms of what people are actually looking for and I think especially from the perspective of punter preferences." [Image text:] MoshPit YOUNGHENRYS ****