Are you getting ripped off at Sydney’s fanciest restaurants? The hidden bill detail everyone’s missing

Dining out at a fancy restaurant is meant to be a treat—a chance to enjoy good company, delicious food, and maybe even a little bit of luxury.

But what if, after your meal, you’re left with a sour taste in your mouth—not from the food, but from a sneaky extra charge on your bill?

That’s exactly what happened to a Sydney diner recently, and it’s sparked a heated debate about tipping, transparency, and whether some restaurants are quietly importing American-style gratuity culture into Australia.



The Hidden Charge That’s Raising Eyebrows
The drama unfolded at Lana Dining, a chic Italian spot in Circular Quay. After a meal with friends, a customer noticed something odd on their bill: a 'gratuity' of 7% had been automatically added, bumping their total from $221 to $236.45. That’s an extra $15.47—enough for a cheeky dessert or a couple of coffees!

The customer took to social media to share their experience, posting a photo of the bill and asking, 'Is this slowly becoming a norm? Is the gratuity actually shared with the staff who goes above and beyond?'

They pointed out that while the charge was mentioned on the menu, it was buried in 'very tiny print.' So, it’s easy to miss unless you’re squinting.


Screenshot 2025-06-25 at 10.15.24.png
A Sydney diner sparked outrage online after discovering a seven per cent gratuity automatically added to their bill at fine dining restaurant Lana Dining, with the charge reportedly noted only in very small print on the menu. Image source: @Sea-Investigator-614 / Reddit.



Social Media Outrage: ‘Don’t Accept That…!’
The post quickly went viral, with Aussies from all walks of life chiming in. Many were furious, calling the move 'underhanded' and 'misleading.' One commenter summed up the mood: 'Tipping should be a choice, not something quietly forced on customers.'

Others were quick to point out that Australia isn’t America. Here, hospitality workers are paid a much higher minimum wage—$25 an hour, compared to just $7.25 in the US.

'Don’t accept that c***. This isn’t America, and they sure as h*** better not try to add the cost without telling you,' one person wrote.



Restaurant Responds: ‘It’s Optional—And It Goes to Staff’
Lana Dining, which is owned by hospitality group House Made Hospitality, defended the charge.

A spokesperson said the optional gratuity is 'communicated at multiple stages during the booking process (on our website, in the booking widget, in the confirmation email), written on the menus, and verbalised again when the bill is presented.'

They insisted the charge is not mandatory and that customers can opt out at any time—just ask.

The restaurant also claimed that every dollar of the gratuity goes directly to the team working that shift, including kitchen staff, and that it’s managed through a third-party software for transparency.



But Is It Really That Simple?
Despite these assurances, many diners say the practice puts them in an awkward spot.

'You have to look the person in the eye who won’t be getting the extra money,' one commenter said. 'Please venues, just pay your staff above award wages and incorporate that into your price.'

Others argued that the real issue is the lack of clear, upfront communication.

If you’re not expecting a tip, and it’s only mentioned in fine print or at the very end of your meal, it can feel like a sneaky way to squeeze a few extra dollars out of customers—especially when you’re already paying top dollar for your meal.


Source: @focusonthetaskathand / Reddit.​


Not an Isolated Incident
Lana Dining isn’t the only venue under fire. Another Sydney restaurant, Tilda (also owned by House Made Hospitality), was called out for adding a similar 7% gratuity to diners’ bills. In both cases, the charge was technically optional, but not always obvious.

What Does the Law Say?
In Australia, restaurants are allowed to add a service charge or gratuity to your bill—but only if they’re upfront about it.

The Australian Competition and Consumer Commission (ACCC) says businesses must be transparent about optional charges and ensure customers are not misled. You must be able to request the removal of any automatic gratuity before paying.

Key Takeaways
  • A Sydney diner sparked outrage online after discovering a seven per cent gratuity automatically added to their bill at fine dining restaurant Lana Dining, with the charge reportedly noted only in very small print on the menu.
  • Social media users slammed the practice as sneaky and 'un-Australian', arguing that tipping should be voluntary and not quietly imposed, especially given that Australia does not have the same tipping culture as the United States.
  • Lana Dining defended the surcharge, saying it was optional, clearly communicated to customers at multiple points, and that every dollar collected goes directly to staff working during the shift—however, many patrons felt uncomfortable about having to opt-out.
  • Australian consumer law allows restaurants to include optional service charges as long as they are transparent and customers have the clear option to remove them, but diners expressed frustration at the awkward situation and perceived lack of clarity.

Have you ever been caught out by a hidden service charge or 'optional' gratuity? Do you think tipping culture is creeping into Australia, or is this just a storm in a teacup? We’d love to hear your thoughts and stories—share them in the comments below!
 

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