NSW Premier Dominic Perrottet has offered cash grants of $20,000 to residents of the Northern Rivers, saying the return of thousands of people to their homes after the recent floods was the “greatest challenge” facing his government.

While Prime Minister Scott Morrison was criticised for avoiding street walks during his visit to Lismore last month, Mr Perrottet – who had just returned to work from paternity leave – was happy to chat to locals and assess the clean-up following two floods within the space of a month.