subsidy

noun

sub·​si·​dy ˈsəb-sə-dē 

-zə-

plural subsidies

: a grant or gift of money: such as

a

: a sum of money formerly granted by the British Parliament to the crown and raised by special taxation

b

: money granted by one state to another

c

: a grant by a government to a private person or company to assist an enterprise deemed advantageous to the public

Synonyms of subsidy

• grant
• allotment
• appropriation

Examples of subsidy in a Sentence

The city is increasing subsidies for public transit.

government subsidies for farmers in case of crop failure

Recent Examples on the Web

Meanwhile, the cost of living is on the rise and market-rate housing prices continue to be out of reach for a lot of people without subsidies. —Michael Smolens, San Diego Union-Tribune, 26 Apr. 2026

As Michael Cannon and Jeffrey Singer demonstrate in their contribution to the Handbook, subsidies are the furthest thing from a solution to health care unaffordability. —Veronique De Rugy, Oc Register, 25 Apr. 2026

And then the Chinese government used the conversion to pure EVs to end subsidies, to change the level playing field, to tilt it in the local OEMs’ favor. —Jamie Lincoln Kitman, Rolling Stone, 24 Apr. 2026

Stadiums are notorious for their lack of multiplier impact, which is one reason these days why sports team owners, such as the McCaskey family that controls the Bears, have such a hard time hoodwinking governments into giving them direct subsidies to build their stadiums. —David Greising, Chicago Tribune, 24 Apr. 2026

Word History

Etymology

Middle English subsidie, from Anglo-French, from Latin subsidium reserve troops, support, assistance, from sub- near + sedēre to sit — more at sub-, sit

First Known Use

14th century, in the meaning defined above

Phrases Containing subsidy

• anti-subsidy

Kids Definition

subsidy

noun

sub·​si·​dy ˈsəb-səd-ē 

-zəd-

plural subsidies

: a grant or gift especially of money

especially : a grant by a government to a private person or company or to another government to assist an undertaking thought helpful to the public