ACT government ministers have criticised plans to cut 16,500 public servants in coming years and cuts to health spending which will cost the ACT $47 million this year and a further $240 million over the next four years. ACT Chief Minister Katy Gallagher. Credit:Dominic Lorrimer Ms Gallagher said Canberra must remain "the natural home for the public service". "The best thing the Commonwealth can do for this city is to keep their centre of operations here. We don’t want to see agencies disappearing to different places across Australia," she said. "I don’t think it stacks up from a cost-benefit point of view but that is the single biggest thing they can do: stay in this city and continue to be the home of the public service."

She asked for assurances that ACT infrastructure spending proposals would be seriously considered by federal ministers and their departments and said even smaller funding packages, like roads spending, was beneficial to the local economy. "If you’re not going to help, tell us and we will go away and work all of these issues out ourselves," Ms Gallagher said. "But if you are prepared to help then let’s have a discussion about what that help might be." "We’re not after everything. We’re not after hundreds of millions of dollars but we do think there’s a role for the Commonwealth to play in supporting the transition in the next two years in particular to make sure that people are being supported as they move from the public sector into other employment." Tuesday's ACT budget is expected to show a deep deficit. The government forecast a $110 million deficit for 2014-15 in February, but the budget has deteriorated since then.

Ms Gallagher said it had been difficult to secure a meeting with Mr Abbott. "He’s a busy guy and I don’t think it is that unusual for prime minister’s not to hold that many meetings with the ACT government," she said. "I do respect the right of elected governments to implement the changes that they think are necessary and they will be judged on those at the next election and in the Senate when the bills are debated."