The pair will be gathering information for the nation's hospital reform agenda.

In June the Hospitals Reform Commission released a Healthier Future For All Australians, including comment about the Commonwealth's takeover of public hospitals.

Health Minister Lara Giddings yesterday encouraged a frank debate about the future of the state's hospitals.

Her own conversations with Ms Roxon and the October tour were part of the debate, she said.

"I have undertaken my own discussions with people here about potential reforms," Ms Giddings said.

"I felt it has been really important that we encourage the full gambit of debate."

She said reform must be driven by patient needs.

"If that means (federal) takeover, then we ought to be prepared to consider that."

Realistically, she said, a Commonwealth takeover of public hospitals was unlikely.

The Prime Minister's visit might also include a formal presentation of the Commonwealth's majority share of the $100 million worth of funding for the upgrading of Launceston General Hospital.

A request has been made for Mr Rudd to make the presentation for the capital works project.

Meanwhile, the Launceston City Council has approved the hospital's development application for its new accident and emergency department.

The hospital has also lodged development applications with the Launceston City Council for the $15 million car park, the $40 million integrated care centre and $15 million worth of extensions to the Holman Clinic.

The cancer clinic extensions will contain a $7.5 million, 2007 election promise, the North's third linear accelerator. On October 30 the joint Parliamentary Public Works Standing Committee will tour the LGH with a view to signing contracts that approve the official start of building.

Meanwhile, the LGH will prepare tender documents, anticipating the public works approval.

All the building projects will be under way or nearing completion in time for next year's state and federal elections.

On October 13 the Prime Minister will hold a community cabinet at New Town High School.