A second person has died after a car ploughed into three people as police wait to speak to an elderly driver.

The trio was walking on a footpath in suburban Wantirna South, in Melbourne’s east, on Thursday when a 91-year-old driver lost control of her car.

WATCH THE VIDEO ABOVE: Grandfather dies after car hits three people near Melbourne playground.

Know the news with the 7NEWS app: Download today

The Toyota Yaris mounted a footpath before hurtling down a hill and smashing through a fence and into a bench.

The woman, 59, died at the scene while the man, 60, was taken to hospital in a critical condition.

A two-year-old boy was seriously injured but his condition had been stabilised in hospital on Friday.

Police said late on Saturday the 60-year-old man had died from his injuries.

Investigators, who are yet to interview the elderly driver, will assess whether speed was a contributing factor.

The incident has prompted the state government to consider previous calls for older people to prove they are fit to drive, in line with rules in other states.

Victoria does not have age-based driving safety requirements, although drivers aged 75 and older must renew their licence every three years, which can involve various tests.

NSW, Queensland, the ACT, Tasmania and the Northern Territory require drivers older than 75 to have a health check, while older drivers in South Australia must complete self-assessments.

In Western Australia, an annual medical assessment is required to renew a driver’s licence from the age of 80.

The crash happened during the first week of Victorian school holidays, bringing the state’s road toll to 14 in seven days.

CCTV has emerged of the aftermath of the tragic incident in which the Toyota Yaris can be seen hurtling down Coleman Rd for about 200m after it struck the trio.

The video shows a hubcap flying off the car, rolling down the roads as it trails the car.

Superintendent Justin Goldsmith said the car had been on the footpath for 40m to 50m before it hit the pedestrians.

He said the driver sustained minor scratches but appeared emotionally shaken.

Police have appealed to anyone who witnessed the incident or who has dashcam footage to come forward.