noun · academic

subsidy

/ˈsʌbsɪdi/SUB·si·dy

Band 7+speakingtask2

financial support from the government or an organisation given to reduce the cost of a service or support an industry.

Examples

The council provides a subsidy for bus fares to help low-income residents.

Fuel subsidies can encourage excessive car use and harm the environment.

Removing housing subsidies without alternatives can worsen affordability problems.

Band 8 sentence

Targeted subsidies for low-income households can improve access to public services without encouraging excessive consumption among wealthier groups.

Collocations

  • government subsidy
  • housing subsidy
  • subsidize public transport

Word family

subsidy nounsubsidize verbsubsidised / subsidized adjective

Common mistakes

subsidise (as a noun)subsidy

supportsubsidy

Say it for a higher band

5help money6support7+subsidy

Synonyms

grant

Easily confused

grant

The university received a research grant, while public transport receives an annual subsidy from the city.

Related words

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In City & Urban life

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