Agreement has been struck on a major federal-state gun buyback following the Bondi shooting massacre.
The commonwealth and NSW governments will evenly share the cost of the scheme.
National cabinet agreed to action the fight against anti-Semitism and strengthen firearms restrictions across the nation following the deadly December 2025 shootings.
NSW tightened its laws in the days following by introducing gun ownership limits, reclassifying some types of weapons, boosting background checks and reducing firearms licences from five years to two.
However the buyback is considered the next step in the reforms.
Compensation will be paid from November 2 for firearms beyond the new ownership limits and for newly reclassified firearms, along with a flat fee for associated ammunition.
The scheme will also provide financial assistance for businesses and industry to adjust to the reforms.
“We must do everything we can to make sure the anti-Semitic terrorist attack in Bondi doesn’t happen again," Prime Minister Anthony Albanese said on Sunday.
"That includes meaningful nationwide gun reform."
The Commonwealth will contribute 50 per cent for administration costs and fully fund the destruction of surrendered weapons.
A fixed price schedule will apply for individual licence holders beyond the new legal limit to return their firearms in exchange for compensation.
Eligible businesses and dealers will be offered up to $25,000 in grants and one-off licence fee relief worth $500 over two years per dealer.
Early 2027 will see a pathway to compensation, for a fee, for eligible higher-value firearms with an indicative market value above $3000 and capped at $10,000 per firearm.
It's estimated up to 274,000 registered firearms or about 24 per cent of the total number of registered guns in NSW - and some 50,000 licence holders are affected by the new limits on ownership.
“After Bondi, we promised ... we would introduce the toughest gun laws in the country and that’s exactly what we did," Mr Minns said.
“The next step is getting the guns that are no longer permitted under those laws out of circulation and permanently off our streets."
This scheme is informed by the recommendations of the anti-Semitism royal commission.
