The Queensland Government will reinstate public funding for the state's Literary Awards after it was scrapped by Campbell Newman in 2012.

The former premier stopped funding the awards on the grounds it would save taxpayers at least $244,475 when he came to office.

The awards had been running since 1999 and were forced to continue with private backing.

Today, Ms Palaszczuk said the Government would match sponsorship funding and create a new category for a work of state significance.

She committed up to $125,000 in total for the awards.

"Funding the literary awards is the next step in taking the arts back to its rightful place, where Queensland is an arts leader," Ms Palaszczuk said.

She said Mr Newman's move to scrap the awards was "condemned not only by the Queensland literary community but across the country".

"I applaud the ongoing efforts of the grassroots organisers, sponsors, publishers and supporters who carried the torch to ensure Queensland's tradition of recognising outstanding writing across many genres would continue," she said.

The State Government will also fund three new awards for new and established Queensland voices.

"The $25,000 Queensland Premier's Award for a Published Work of state significance will recognise writing with a Queensland focus, celebrating important Queensland authors, stories, history and voices," Ms Palaszczuk said.

"And I will double our support to young people with two Queensland Premier's Young Publishers and Writers Awards, each to the value of $12 500, for Queensland writers aged 18-30.

"These two awards are for young Queensland writers who provide strong voices in traditional or contemporary forms."

The Government will also continue to support three Queensland Writers Fellowships, each to the value of $20 000, to provide writers with an opportunity to develop their manuscripts.