The Rehab Group says its care services will be kept open after an extra €2 million in funding was secured following negotiations.
The group says the threat to issue notice of termination to the Health Service Executive of its Rehab Care services has now been lifted, as a result.
The agreement was reached following what has been described as "intensive discussions" between the Rehab Group, the Health Minister Simon Harris, the Minister for Disability Finian McGrath and the HSE this evening.
Around 3,000 children and adults with disabilities access Rehab's 147 services at 117 locations around the country.
The group had threatened to withdraw Rehab Care services if additional financial support was not provided.
Rehab Group Chief Executive Mo Flynn says "we can now continue to provide these vital services to the people who rely on them."
She says "the news will come as an enormous relief to the people in our services, their families and our dedicated staff who have worked so hard to campaign for the continuation of their services."
The Minister for Health Simon Harris and the Minister for Disability Finian McGrath say they are "pleased to say the matter has been resolved."
A spokesperson for Minister Harris says "the priority of both Ministers was the safeguarding of services and supports for people with disabilities and they are glad this has been achieved."
The Department of Health has said the Government is committed to providing services and supports for people with disabilities which will empower them to live independent lives.
In a statement, the department says: "As one of many service providers, Rehab provide invaluable services and supports to people with disabilities and their families."
Earlier today, a number of services users, their families and Rehab Care staff briefed TDs and Senators in Leinster House, as part of their campaign to save the care services.