This paper considers the dynamical properties of a space and time discrete fractional reaction–diffusion epidemic model, introducing a novel generalized incidence rate. The linear stability of the equilibrium solutions of the considered discrete fractional reaction–diffusion model has been carried out, and a global asymptotic stability analysis has been undertaken. We conducted a global stability analysis using a specialized Lyapunov function that captures the system’s historical data, distinguishing it from the integer-order version. This approach significantly advanced our comprehension of the complex stability properties within discrete fractional reaction–diffusion epidemic models. To substantiate the theoretical underpinnings, this paper is accompanied by numerical examples. These examples serve a dual purpose: not only do they validate the theoretical findings, but they also provide illustrations of the practical implications of the proposed discrete fractional system.