Department secretary David Roberts said yesterday a review was looking at all departmental spending and would present cost-saving options to the government within months.

On Sunday Premier David Bartlett denied the department was under pressure to find $83million in savings.

Australian Nursing Federation state secretary Neroli Ellis had said on Friday that Mr Roberts had given her a briefing on a likely $83million shortfall.

Yesterday, responding to Mr Bartlett's denial, Mrs Ellis said she had even met Health Minister Michelle O'Byrne and committed to work with her to identify cost efficiencies.

Mr Roberts did not dispute the $83million figure yesterday and his comments would have done little to alleviate concern that hospital budget cuts were likely.

He said in a budget briefing with Mrs Ellis he had confirmed that savings targets applied in the 2009 state budget after the global financial crisis remained in place.

"All areas of DHHS expenditure will be subject to rigorous examination as is customary practice," Mr Roberts said.

"Over the coming months options will be presented to government for dealing with the agency's budget task."

The state's hospital's have not yet been assigned their operational budgets.

A government spokesman said last night government agencies were required to deliver savings without impacting on front-line services.

"We will work closely with the Department of Health and Human Services to assist it in identifying savings, but it is not anticipated that this will amount to $83 million," the spokesman said.

The confirmation comes just five days after the state government admitted it had allocated less than half of its $130million election pledge to fund 260 extra staff at the LGH over the next four years.

Mr Bartlett, who has guaranteed all the staff would be recruited, has said the pledge was made over five years.