More information will be provided on the seven deaths later on Wednesday. It brings the toll from the current outbreak to 32.
There were 61,322 coronavirus tests processed and 34,028 vaccine doses administered at state-run hubs on Tuesday.
It comes as the Latrobe Valley region has been plunged into a seven-day lockdown to curb a growing COVID-19 outbreak believed to be linked to a household gathering.
Residents in the City of Latrobe, which encompasses the Gippsland towns of Moe, Morwell and Traralgon, entered lockdown at 11.59pm on Tuesday. They were notified via a press release about 6.30pm.
They are now living under the same restrictions as those in Melbourne, with the exception of curfew.
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Health Minister Martin Foley said the illegal social gathering, held over the AFL grand final weekend, was "regrettable".
There are at least 18 active COVID-19 cases in the region.
Almost 79 per cent of Victorians have received one dose of a COVID-19 vaccine while more than 48 per cent are fully vaccinated.
A modest easing of rules has come into effect on Wednesday including extending metropolitan Melbourne's travel limit to 15km and resumption of contactless sports such as tennis and golf.
In regional Victoria patron caps in venues will increase from 20 to 30, while masks will also not be required for some beauty services like facials and beard trimming.
Melbourne's lockdown will remain in place until 70 per cent of Victorians aged over 16 are double-vaccinated, which is forecast for 26 October.
A more significant easing of restrictions will occur when the 80 per cent double-dose target is met, forecast for 5 November.
Victoria records 950 new local COVID-19 cases and seven more deaths - SBS News
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