REGIONAL Victoria will take another step out of restrictions on Thursday.

Premier, Daniel Andrews said the changes were possible as regional Victoria’s 14-day rolling average of case numbers dropped to 3.6, with no new mystery cases recorded since September 1.

“I am absolutely delighted to be able to announce that regional Victoria, from 11.59pm tomorrow night, will be able to take the third step in our safe and steady road map to COVID-normal,” he said.

“It's a massive thing. It is such good news.

“I am so, so pleased and proud of every single regional Victorian who has stayed the course, followed the rules, got tested.”

Mr Andrews said today was a “day of hope and optimism”.

Victoria recorded zero deaths overnight, the first time since July 13.

There were 42 new COVID-19 recorded cases recorded bringing the state's total number of active cases to 1040.

What's changing from 11.59pm on Wednesday

STEP three will mean there will no longer be restrictions on the reasons to leave home, however masks will still be mandatory.

Travel will be permitted across regional Victoria with accommodation services open with social bubble caps.

Hospitality will be able to offer table service again with a two-hour limit on bookings.

Cafés and restaurants can seat people in groups of up to 10, but it will be subject to density limits and seating will be mostly outdoors.

Retail will remain open and will be expanded to include beauty and tattooing where a mask can be worn.

Outdoor auctions will be permitted with 10-person limit.

All community sport will return for children and non-contact sport will be permitted for adults.

Gathering limits for weddings will increase to 10 people and funerals to 20 people.

Outdoor religious gatherings will increase to 10 people plus one faith leader.

Every business will be required to have a COVIDSafe plan.

Public gatherings outdoors will be allowed for up to 10 people, with children under 12 months not included in number restrictions.

A household bubble will be introduced where five visitors from a nominated household can visit each other.

A comprehensive breakdown will be in Thursday’s Spectator.