An additional 397 cases of COVID-19 were detected in Victoria in the last 24 hours.
Victorian Premier Daniel Andrews said three people had died in that time taking the Victorian death total to 116.
Mr Andrews the number was daily number was "significant" but there is a growing concern among the community transmission numbers.
"To those who are not following the rules you need to think for a moment," Mr Andrews said.
"This will not end anytime soon if people don't follow those rules."
NSW recorded its first coronavirus death in more than a month.
An 83-year-old man died after being diagnosed with the virus and NSW Health said his source of infection was the Crossroads Hotel.
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The state also confirmed 17 new cases of COVID-19 in the past 24 hours.
Victoria recorded 723 new cases of coronavirus and 13 deaths on Thursday - both national records. The case numbers have fallen in the two days after.
Ten of the deaths were linked to aged care facilities, with some 913 active cases linked to the sector.
The Victorian Government announced on Thursday that face masks would be mandatory outside of the home for all Victorians from Sunday. It followed a decision to make face masks compulsory in Melbourne and the Mitchell Shire earlier this month.