DENISON independent MHR Andrew Wilkie has accused the Tasmanian Greens of misleading the community over the Royal Hobart Hospital funding deal.

In a letter to Prime Minister Julia Gillard, Mr Wilkie asks her to disregard criticism from the Greens that $340 million for the hospital's redevelopment was not exempt under a federal deal that reduces GST payments to rebalance one-off grants.

``This is a deliberately misleading position for the Greens to take, not least because the Tasmanian Labor-Green government has at every turn welcomed the funding from Canberra that formed part of my agreement with the Prime Minister,'' he said.

Mr Wilkie said the Greens knew all other projects were funded in the same way and could not have chosen a worse time to speak out as the Commonwealth reviews GST distribution.

``The Tasmanian economy is very soft and many Tasmanians are doing it tough. There is simply no scope for any reduction in our fair share of GST,'' he said.

Premier Lara Giddings refused to get involved in the verbal stoush, but repeated her support for the way GST is distributed now.

``We will not accept any outcome from the Australian government (as a result of the GST review) which sees Tasmania worse off, not just today but into the future as well,'' she said.

Greens health spokesman Paul O'Halloran said when the RHH deal was announced by Mr Wilkie the public was led to believe it was additional money. He said it still was not clear how much of Tasmania's GST allocation would be withheld to offset the payment.