New Premier, Christy Clark, has increased the funding to more than 2,000 non-profit community groups by $15 million.
It fulfills a leadership campaign promise Clark made to boost the funding.
The additional funding brings the total community gaming grant to $135 million.
Clark has also pledged to take a closer look at the government funding structure of non-profit groups.
"These non-profit organizations turn the small amounts they receive into big benefits for the communities they serve," said Clark.
A list of which organizations will benefit from the increased funding will not be ready until the middle of next week.
However, government officials noted eligibility is not being expanded, so only groups receiving funding now will be receiving additional funding.
The issue of gaming grant cuts came into focus in Prince George earlier this year when the Hart Pioneer Centre went public with concerns it was not eligible for gaming grants in 2011.
The pioneer centre and other charities had remained guardedly optimistic over promises by Liberal leadership candidates to restore funding cut under the Gordon Campbell-led government.
In 2008-2009, gaming grants to non-profit groups had totalled $156 million.
The $15 million in funding this year will increase grants to more than 500 organizations. The groups include youth arts and culture groups and community service groups like Rotary and Kiwanis.
Also on the list are fairs, festivals and museums.
Extra funding will be provided to food banks, drop-in centres and school parent advisory councils.
Independent Cariboo North MLA Bob Simpson said Clark's announcement would be a welcome relief if it provided more specifics on who would be receiving the increases.
"Organizations that have historically depended on gaming grants and bingo money have been living with uncertainty and lack of clarity from the government for too long and, unfortunately, today's announcement muddies the water even more," said Simpson.
The NDP said Clark's announcement was inadequate because she hadn't increased funding to the $156-million level. The New Democrats also noted that 800 groups had been dropped from eligibility in recent changes.
"This announcement appears to be a lot more about politics than supporting community services," said NDP gaming critic Shane Simpson.
He noted the announcement was made in the riding of Point Grey, where Clark may run in a by-election.