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

The subsidies, which are slated to expire at the end of this year, remain in focus. —Sean Conlon, CNBC, 28 Dec. 2025

Their war of words over healthcare subsidies and other items looks set to continue in 2026. —Callum Sutherland, Time, 28 Dec. 2025

Senate Democrats blocked approval of spending bills in the fall while arguing for an extension of subsidies for lower-income families to buy health insurance under the Affordable Care Act, which is also known as Obamacare. —Bart Jansen, USA Today, 27 Dec. 2025

Levitt said there may still be hope for Americans on ACA plans if Congress reaches a deal to extend subsidies next year. —Berkeley Lovelace Jr, NBC news, 25 Dec. 2025

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