From midday on Monday, clubs, entertainment venues and pubs will have to close due to tough new rules the government has laid down in order to flatten the curve of coronavirus.
Prime Minister Scott Morrison said the National Cabinet was working and "will continue to work".
Mr Morrison said social distancing "is our biggest weapon" against the virus to save lives.
"The failure of our public to do that will put our people at risk," he said.
Mr Morrison said that from 12pm on Monday, stage one of the new measures will be enforced and the following businesses will be closed or restricted:
Registered and licensed clubs
Licensed premises in hotels and pubs - this does NOT apply to the accommodation
Entertainment venues and cinemas, casinos and nightclubs
Restaurants and cafes will be restricted to takeaway only
Indoor sporting venues
Places of worship
Enclosed spaces for funerals and things of that nature will have to follow the strict four square metre rule which will be enforced.
Bottle shops will be exempt and will not be restricted as they are not classified as a place of gathering.
During the address to media, Mr Morrison said the advice on schools has not changed.
"Children should go to school tomorrow, there is no change to medical expert advice," he said.
"That said, I want to thank all the teachers and those who work in the schools that have been doing so under pressure.
"I don't want to see our children lose an entire year of their education."
Mr Morrison said, however, if parents choose to, they can keep their children home until the beginning of the school holidays.
"But, for all of those parents who wish to send their children to school, for education at the school, those schools will remain open," he said.
"In addition, schools will seek to provide learning at home in a distance learning framework but you cannot be assured that that will come in place immediately.
"The premiers and chief ministers all have the same view that schools should reopen on the other side of the term break, subject to the health advice at that time. Parents who make the decision for the children to remain at home must take responsibility for those children."
Mr Morrison says there is no reason for people to panic buy or hoard as people are not confined to their home and shops will remain open.