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

• allocation
• allotment
• annuity
• appropriation
• entitlement
• grant
• subvention

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

Corinth also said when there's such a severe housing shortage like now, federal subsidies can goose the market and push up prices for everyone. —Jennifer Ludden, NPR, 2 May 2025

The platform uses technology to help low-income individuals enroll in government programs like Medicaid, SNAP and utility subsidies. —Cheryl Robinson, Forbes.com, 1 May 2025

But many analysts say what’s happening here undermines an increasingly popular narrative that clean energy is unaffordable, unwanted and can only succeed with large-scale government subsidies. —Laura Paddison, CNN Money, 1 May 2025

The governor’s office has defended its position by pointing to the discrepancies between how much the state versus the city contributes to the subsidy program, which is just one facet of the city’s complex child care system. —Chris Sommerfeldt, New York Daily News, 1 May 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