Newcastle City Council is among the first in NSW to be given a state government loan subsidy to help fund infrastructure repairs.

Under the deal, the ocean baths, promenade and pump house will receive a 2-and-a-half million dollar upgrade, while 7-and-a-half million will go towards restoring the clock tower.

Rather than funding the entire 10-million dollars, the state government is providing a loan subsidy of 4 per cent over 10 years which will allow council to borrow the money at a greatly reduced rate, or interest-free if it’s able to secure a compatible loan.