Betsi Cadwaladr University Health Board had said a £52,000 payment to Corwen Health Centre would be phased out.
But campaigners from the surgery and community collected more than 600 signatures on a petition and appealed the decision.
The health board said it had agreed a "revised transitional support package" for the surgery.
Llandrillo councillor Mabon ap Gwynfor said he understood the new package would not be as generous as the previous deal - but would not be far short.
The board said it comes with a requirement the practice works towards achieving financial stability over the next two years - meaning the surgery would still need to find a way to generate its own income.
But Mr ap Gwynfor said it would still mean health practitioners could concentrate on "looking after the health of the people of this area, instead of having to spend their time on developing business plans".
He added: "It's recognised that rural areas have greater needs especially following the closure of several community hospitals.
"This package allows Corwen to provide a broad range of services, which patients might otherwise have to travel great distances to receive."
Funding for a rural doctors' surgery in Denbighshire has been reinstated after a campaign.