The Bendigo Bank Aerial Patrol conducted a sweep of the coast off Warilla on Monday afternoon, after lifeguards reported spotting a large shark around 10.15am.

"The aerial patrol has checked over Warilla beach and were unable to sight the shark," said a council spokesperson.

"Lifeguards will err on the side of caution and are keeping the beach closed for the rest of the day."

Despite the beach's closure, surfers were spotted in the water on Monday afternoon.

Warilla beach is expected to reopen at 9am on Tuesday.

EARLIER: A shark sighting closed Warilla beach on Monday morning.

Shellharbour City Council confirmed the beach was closed after lifeguards spotted a shark in the area around 10.15am

"Shellharbour City Council Lifeguards spotted a large shark about 15 metres off the break wall at Warilla South beach. The beach was quickly closed and all swimmers in Little Lake were alerted to the sighting," a council spokesperson said.

"Lifeguards are assessing the position of the shark. The beach is closed, and will reopen when possible," a council spokesperson told the Mercury.

Warilla, Warilla North and Warilla South beaches will remain closed until the Bendigo Bank Aerial Patrol check the waters and an all clear is given.

Harry Mitchell, of the Bendigo Bank Aerial Patrol, said shark-spotting planes had received numerous reports of a shark in the Warilla beach area in recent weeks, but had not sighted the creature. 

He said the aerial patrol would launch a plane at 1pm to check the area.

"I think it has been there for three or four weeks. We've been flying over the area every day for a few weeks, doing six passes a day, but haven't seen that shark," Mr Mitchell said.

"We'll be launching a plane at 1pm, to go check it out."

Council advises swimmers to "follow lifeguard directions and maintain awareness when in the water."

It is not known how many people were on Warilla beach at the time.