It was one of the first acts of the Newman Government.

Now, in one of her first acts as Arts Minister Annastacia Palaszczuk has re-established the Premier's Literary Awards to the cheers of the arts community.

The Government has reversed Campbell Newman's decision to axe the state's literary awards.

Ms Palaszczuk announced the government would match the sponsor and partnership funding of the Queensland Literary Awards of up to $125,000, which would see the potential prize pool grow to $300,000 annually.

Two new awards have also been established - a $25,000 Queensland Premier's Award for "published work of state significance", while writers aged between 18 and 30 can compete for the Queensland Premier's Young Publishers and Writers Awards.