Sydney is drastically cutting speed limits across the inner city in the name of road safety, with a likely windfall in revenue from fines.

The City of Sydney will lower the speed limit from 50kph to 40kph on all the roads within its council area, which includes the CBD and also takes in major inner-city suburbs like Glebe, Forest Lodge, Redfern and Alexandria.

In the city centre, plans are advancing to reduce it even further to just 30kph. 

Sydney Lord Mayor Clover Moore AO said the slower speed would expand safety for everyone who walks, rides and drives in the city.

‘Studies have shown that the survival rates for people hit by a vehicle drastically improve at lower speeds like 40km/h,’ she said.

‘Currently, 75 per cent of local and regional roads in our area already have a 40km/h speed limit or lower. That’s up from just 5 per cent in 2004.’

The reduced speeds will likely increase the revenue haul from speeding offences.

Already in 2032/24, the NSW government has collected $233 million in speeding offences, both from speed cameras and tickets handed out by police. 

However Ms Moore said the change was driven by safety and environmental imperatives.

‘When people drive at safer speeds it reduces the number of crashes and their severity, improves safety for people walking and riding and helps to support better placemaking,’ Ms Moore said.

‘Not only will our streets be safer as a result of these important changes, they’ll be quieter and have less exhaust emissions.

‘We will also continue to work with NSW Transport to reduce speed limits to 30km/h in the city centre and other high activity areas where there are lots of people walking and riding.’

The City of Sydney will lower the speed limit from 50km/h to 40km/h on all of the roads within its council area 

Sydney Lord Mayor Clover Moore (pictured) said the new speed limits will improve road safety

Signs warning drivers of the new limits would be installed in the coming weeks, she added.

The 40km/h limit applies to local and regional roads managed by the City of Sydney council.

Most motorways and state roads, which are the responsibility of the NSW government, will continue to have speed limits above the 40km/h limit.

The 2024 NSW road toll is up from 2023, with 179 lives lost so far.

In 2023, 163 lives were lost at this point in the year.