There are now 28 cases of COVID-19 linked to the Crossroads Hotel in Casula, with NSW's second outbreak of the virus continuing to grow daily.
In the state's morning update, NSW Chief Health Officer Dr Kerry Chant said there had been 13 new cases of COVID-19 diagnosed in the hours to 8pm on Monday.
She said two were returned overseas travellers, and one was a known contact of an overseas traveller.
The remaining 10 cases were associated with the Crossroads Hotel and all live in South Western Sydney, Dr Chant said.
She said three of the new cases attended the venue on July 3. and seven were contacts of people who had been at the venue.
Dr Chant also confirmed that one of the new cases worked at Kmart in Casula, with people who attended that venue now on alert.
Anyone who attended the hotel on July 3, and in the days after to July 10 (particularly July 9), is asked to self-isolate and come forward for testing.
"This is a critical phase, and we do not want to see community transmission established in NSW," Dr Chant said.
With increasing concern about people attending pubs, Premier Gladys Berejiklian confirmed her government would be bringing in new restrictions for pubs and other licensed venues.
"NSW is on high alert and I want to deeply thank all those people who have come forward to get tested. It has helped us enormously in reaction to dealing with the outbreak in NSW," she said.
"It's been apparent to us... that we need to take some further action to curtail some of that activity."
She said the government wanted to reduce the risk that comes with people gathering in larger venues, and that indoor venues where people aren't seated were the areas of greatest risk.
The government will reduce group bookings from 20 to 10 people, which Ms Berejiklian said would "reduce the likelihood that people will mingle:.
From 12.01am on Friday, there will also be a cap of 300 on any major venues (currently one customer per four square metres is allowed), and COVID hygiene marshalls will also be employed to oversee the operation of venues.
Every pub in NSW must also download and register their COVID safety plan by Friday morning.
Additionally, the hotel industry will be mandating that every patron's details must be taken, and where possible this will be done electronically to help with contact tracing.
The changes will not apply to clubs, restaurants, or The Star Casino.
Ms Berejiklian also said her government was not considering locking down Liverpool or Campbelltown local government areas, saying the decision by Queensland to declare them COVID-19 hotspots was "a matter for Queensland".
Earlier, Premier Annastacia Palaszczuk declared both of these areas hotspots, barring entry of people who had visited these areas into her state.
Meantime, at an 11am media conference, Victorian Premier Danial Andrews announced there had been another 270 cases of COVID-19 detected in the past 24 hours.
He said 28 of those were connected to known outbreaks and the rest are under investigation.
There are 1803 active cases in the state, Mr Andrews said.
Mr Andrews will join Prime Minister Scott Morrison at another press conference later today, he said.