The restaurant was named best Australian restaurant in a hotel/motel at the annual Restaurant and Catering Awards for Excellence.

It was also one of two NSW entries for the title of Australia's restaurant of the year - but was pipped at the post by Melbourne eatery Vue de monde.

Bannisters was one of only 11 winners from NSW.

Victoria boasted 14 national winners.

Bannisters' general manager Peter Bacon said the award had been totally unexpected - particularly considering its competition had included two hat restaurants.

But he added that while hats were "fantastic" they were not the "be end" of a restaurant.

"We would rather be known for really good food," he told the Times last week.

The restaurant has been the focus of international attention in recent weeks after being taken over by UK celebrity chef Rick Stein.

It received a particularly good review in a recent edition of the Sydney Morning Herald.

However the restaurant's most recent award is in recognition of its achievements prior to Stein's arrival and Mr Bacon says former head chef Russell Chin is "very proud" that it was his menu behind the award.

While Stein import Julian Lloyd is now calling the shots at Bannisters Chin is a vital and much appreciated part of the team.

Mr Bacon said the feedback over the past few weeks since 'Rick Stein at Bannisters' opened had been extremely positive with customers commenting on the food as well as the "extremely friendly" staff.

"That's the standard and that's what we aim to keep - if not beat," Mr Bacon said.

He said the restaurant had been attracting at least 70 people a night since the start of the month - as many as 110 on weekends - 30 per cent of them motel guests and the rest 'outsiders'.

Mr Bacon said the changes had created a number of new job opportunities including 10 new chefs, 10 new wait people, at least three additional kitchen staff and six extra people in the pool bar.

He said the restaurant's original core staff had been retained.