NSW Premier Gladys Berejiklian announced bookings at restaurants, cafes and bars would be limited to 10 people. Weddings and corporate events can have up to 150 attendees, while funerals and religious gatherings will be capped at 100 people. She stressed the importance of people remaining seated when in venues.
"No dancing, no singing, no mingling," said Berejiklian.
She acknowledged that it may be difficult for emotional events such as funerals.
"They are emotional occasions where people know each other and that increases the risk of transmission," she said.
NSW chief medical officer Kerry Chant confirmed there had been eight new cases of coronavirus diagnosed overnight. NSW Health is currently treating 101 coronavirus cases, including one patient in intensive care but not requiring a ventilator.
A cluster of coronavirus cases had been linked to the Crossroads Hotel, as reported by The Guardian.
NSW Health contact tracer Jennie Musto used geometric testing to determine the location of the outbreak.
"A man from Melbourne came into a workplace in Sydney, and then there's some transmission within that workplace and then they all went to a party that night of the third of July, at the Crossroads hotel. So this is where it all began."
At today's press conference, Dr. Chant confirmed the Crossroads outbreak was responsible for up to four chains of transmission. Forty-two coronavirus cases have been linked to the hotel, including 27 people who were in contact with people attending the venue.
The stricter measures come after a spike in diagnosed cases in Victoria, the neighboring state to NSW.
On July 9, the state's capital city of Melbourne entered lockdown, reported the BBC.
The lockdown came after the state saw 191 new cases in a day, the highest daily rate since the pandemic began.
On July 2, the city made a controversial decision to put nine housing blocks into lockdown, forcing almost 3,000 residents to stay inside their apartments. The lockdown would be lifted for those residents once they have been tested, claimed authorities.
After the news of Victoria's lockdown, Berejiklian said NSW residents should "feel on high alert" and "be extra careful."
The Inquisitr reported vaccines being developed by Pfizer and BioNTech were given a fast track approval by the Food and Drug Administration. The fast track approval means that usual review processes will be sped up, so that the vaccines can be administered sooner.