As part of the state government's budget, set to be handed down today, the Isolated Patients Travel and Accommodation Assistance Scheme (IPTAAS) will receive a major update with rebate costs raised by up to 85 per cent.

Manager of Wagga's Lilier Lodge accommodation facility Margaret Dalmau said the rebate levels were outdated and has welcomed the announcement.

"It's great news," Ms Dalmau said. "It means people won't be as much out of pocket and it's a really good start in making life easier for those who have to travel for treatment."

Lilier Lodge is Wagga's only purpose-built accommodation facility for cancer patients and is jointly funded by CanAssist and Cancer Council NSW.

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The changes will see an increase in fuel reimbursements from 22 cents to 40 cents per litre.

Accommodation reimbursements will be increased from $43 to $73 per night.

The overhaul will also include a campaign to raise awareness about IPTAAS and a simplification of the application process.

One couple glad to see the changes are Gundagai locals Jim and Elizabeth Graham.

They are staying at Lilier Lodge while Mr Graham receives radiation therapy for prostate cancer.

It is not the first time the couple has battled the disease, with Mrs Graham receiving treatment for breast cancer several years ago.

Mr Graham said with fuel prices going up, the travel rebate will be a great help as the couple currently pays more than $100 to fill their Toyota HiLux with petrol.

"Getting 40 cents per litre back is more realistic," Mr Graham said. "Vehicles aren't cheap either, so we need to keep it well maintained."

Mrs Graham said their local CanAssist branch gives them $35 for fuel each time they do a round trip and that the changes mean they will now have more money to spend on other expenses.

"The changes will also make a big difference to CanAssist branches around the region because they support Lilier Lodge and they also support us to stay here," she said.

Another to welcome the changes is Leeton local Anna Nardi, who is currently in remission after being diagnosed with breast cancer in 2017. "It's very exciting news because in rural areas people need to travel to access cancer services," Mrs Nardi said.

She also stressed that it is particularly helpful for families hit by cancer more than once. "That is an enormous expense and anything the government can do to help with that is very important," she said.

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