1996-97 was the 22nd season that Division 1 operated as the second tier of ice hockey in Sweden, below the top-flight Elitserien (now the SHL).
The teams were given zero to seven bonus points based on their finish in the first round.
The last-place team in each of the qualifying groups was relegated directly to Division 2, while the second-to-last-place team had to play in a relegation series to retain their spot in Division 1 for the following season.
Of the eight teams in the Allsvenskan, the top two qualified directly for the Kvalserien.
The third-sixth place teams qualified for the second round of the playoffs.