Sydney community radio station 2SER could shutter in July as funds run out

Sydney’s community broadcaster 2SER could close its doors after more than 45 years, having failed to secure rescue financial backing after its biggest funder Macquarie University walked away from the radio station last year.

Operating out of University of Technology Sydney (UTS) premises, the station’s manager Cheryl Northey told staff on Tuesday the failure to replace the funding previously provided by Macquarie was detrimental, and that the station could shutter as soon as July.

Northey explained a range of options for the broadcaster to staff in an email on Tuesday afternoon, though privately has insisted to colleagues she is working with the station’s board to secure alternate funding or other avenues to ensure the survival of the long-running station, which has been the breeding ground for many high-profile journalists and radio stars.

While the announcement was made to staff, three sources with knowledge of the matter, not authorised to speak publicly, said other universities such as the University of NSW and Sydney University weren’t approached to replace the shortfall until mid-March this year, even though Macquarie had pulled out in September.

Northey has been contacted for comment. UTS was also approached for comment.

Owned and funded by two Sydney universities, UTS and Macquarie, the station is based in the former’s Ultimo campus next to the ABC’s headquarters. High-profile alumni include ABC personality and former announcer Robbie Buck, Labor minister Tanya Plibersek, who studied journalism at UTS, and former ABC Sydney station manager Steve Ahern.

Community radio, alongside other university-funded programs, has suffered in recent years for a range of reasons, including international student fees drying up.

Northey told staff that she and the board had explored the option of securing one or more new university partners, though it has become clear that “we now need to carefully consider alternative long-term models that could provide the stability the station needs”.

Other options considered include transferring the broadcast licence to another not-for-profit community interest group that could operate on a lower cost basis.

“Should the station close this year, which could be as early as July, 2SER must do the right thing by our staff,” she said. “A decision to close would not be taken lightly, and work is being done to avoid that.”

Despite the financial constraints, 2SER’s audience grew by 20 per cent in 2024, according to its annual report, and the station was buoyed by a series of minor grants by the likes of Meta and the Walkley Foundation, which contributes upwards of $200,000.

Macquarie University pulled its funding of the station it co-owns in September. It had paid $325,000 in 2024, ahead of UTS’ core funding of $300,435. UTS also contributes to the station through a series of other grants, which take its total contribution just over $400,000 annually.

Macquarie’s decision “aligns with the university’s responsibility to balance its core missions of education and research with long-term financial sustainability”, it said in a statement last year, adding that it gave 2SER 15 months’ notice to support planning and transition.

Station sources say that despite the early warning, 2SER’s management and board had failed to act swiftly to secure alternate funding. UTS is unlikely to top up its payments to make up for the Macquarie shortfall, having also introduced cost-saving measures of up to $100 million itself in September.

The station approached both UNSW and the University of Sydney in March, giving them short deadlines to respond, said one source with knowledge of the process, not authorised to speak publicly.

2SER had an operating surplus of $80,000 in 2024 after receiving revenue of $1.23 million in total. Its total employee expenses are about $700,000. The vast majority of its revenue is derived through grants, although it also receives revenue from listeners and sponsors.

While it operates as an educational and community-based station, it also serves as a training ground for journalists who have gone on to work at both public and commercial news outlets.

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