Adults with physical disabilities living in rural areas often experience limited access to structured physical activity and prolonged waiting times for rehabilitation services. Traditional one-to-one therapy models may not adequately support sustained physical activity participation while maintaining service capacity. This study evaluated the functional and service-level impact of a community-based group exercise programme implemented within a rural adult disability service. A prospective service evaluation using a repeated-measures pre–post design was conducted in County Longford, Ireland. Adults with neurological and neuromuscular conditions were signposted through HSE Adult Disability Services to an 8-week supervised group exercise programme delivered in partnership with community infrastructure. Outcome measures included the 10-Metre Walk Test, 30-Second Sit-to-Stand Test, Berg Balance Scale, and EQ-5D health status scale. Changes in functional outcomes were interpreted using established minimal clinically important difference thresholds, while service-level impact was assessed through comparison of physiotherapy waiting list volume and maximum waiting times before and after implementation. Participants demonstrated improvements in mobility, lower limb strength, balance, and self-reported health status, with several achieving clinically meaningful gains in gait speed and functional strength. At a service level, physiotherapy waiting list volume reduced by 93.9% (66 to 4 clients) and maximum waiting time decreased by 86.7% (30 to 4 weeks). Embedding structured community-based exercise pathways within rural disability services may improve functional outcomes while alleviating pressure on rehabilitation services and supporting more sustainable models of care.