Organisers made the announcement on on the festival's social media channels this afternoon, citing soaring costs and extreme weather among a litany of reasons for the postponement.

Originally, Fairgrounds Festival was scheduled for November 25-26, and organisers had planned to make first line-up announcement this month.

"This decision was not made lightly by our team, who have spent two years planning the 2022 event and were excited to welcome you all in November," the statement read.

"Unfortunately, a variety of escalating factors made the decision for us, most notably ongoing extreme weather patterns and ballooning insurance premiums, lingering COVID risks, labour shortages and increased costs at every level of the supply chain.

"It wouldn't have been responsible for us to continue in conditions where we weren't confident of delivering an event worthy of our loyal and beloved attendees."

In the post, punters were encouraged to keep their accommodation bookings in and around Berry, to support the local businesses which would usually benefit from the festival crowd.

Organisers said they have "big plans" for Fairgrounds festival in 2023.