The festival was scheduled to run from October 31 to November 8 but the committee had to cancel the event based on coronavirus restrictions in Vicoria.

Advisory committee chair councillor Barbara Alexander said having to cancel the festival was a "great disappointment".

"The Benalla Festival is a real highlight of our annual community calendar and there are so many groups and individuals who are looking forward to it," she said.

"It is our chance to celebrate the vibrancy of Benalla and district.

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"It is however the responsible thing for us to do because the safety of everyone in our community comes first and there are restrictions in place.

"I know it is tough, but even the smaller festival events are not possible under the current restrictions."

Planning for the 2021 Benalla Festival is underway, with a federal grant of $26,400 already under their belt.