GB’s men finished eighth, with one win from five fixtures, including their first Games victory – a 3-0 defeat of Morocco.
The Paralympic portion of the overall funds from UK Sport has risen from 16% of the total budget to 20%, with swimming, athletics and cycling all being rewarded for their success with big rises, but archery and powerlifting among those cut.
Volleyball England chief executive Lisa Wainwright said the squad had made significant progress.
“The investment requested from UK Sport was less than £500,000 per year per squad over the next four years,” she said.
“We had a great experience that we all witnessed and we saw Martine Wright at the BBC Sports Personality of the Year awards telling her life story and how her life had changed through being a Paralympian.
“We feel the flame has well and truly been extinguished for sitting volleyball from a legacy point of view.”
Richard Dobell, part of the men’s GB sitting volleyball team, said on Twitter: , external“The rest of the world excel, invest and unite in team sports. Good old GB holds true to its institutional blinkered approach.”