Coroner Simon Cooper released on Friday his findings into the July 23, 2016, death of 68-year-old Mrs Delios who was stabbed multiple times in her store in broad daylight by Daryl Royston Wayne Cook.

Cook had been released from Risdon Prison early on remission the day before.

He was found not guilty of murder by a jury for reason of insanity and was detained indefinitely in a mental health facility in 2018.

Cook said he stabbed Mrs Delios because he believed he was a Christian warrior and God wanted him to kill heathens.

Handing down his findings in Hobart, Mr Cooper said Mrs Delios' death was shocking, tragic and needless.

"It is very clear that when Mrs Delios was killed by Cook he was suffering from an obvious, untreated mental illness," Mr Cooper said.

"He was released without support and failed to keep an important appointment with Community Corrections within hours of his release.

"All of these factors seem to me at least to have been factors which individually and collectively contributed to the circumstances which led to Mrs Delios' death."

Mr Cooper said Cook had a significant record of prior convictions in Victoria, South Australia and Tasmania which included dishonesty offences, carrying a dangerous article, making a threat to kill and grievous bodily harm.

"His history as an adult is essentially a cycle of crime, incarceration, drug and alcohol abuse, and significant mental health issues," he said.

Prior to his release from Risdon prison on July 22, 2016, Cook spent five different periods in the prison.

"Cook's behaviour whilst in custody after 15 July, 2015, was erratic, threatening and deeply problematic," Mr Cooper said.

He noted despite Cook's clear mental illness, he was never transferred to the Wilfred Lopes Centre which is a purpose-built secure forensic mental health facility adjacent to the Risdon Prison complex.

Mr Cooper said it was far from clear why Cook was granted 10 weeks remission of sentence given his extremely challenging behaviours in prison, with actual and threatened violence to staff and other inmates.

"He was released early, having been granted a remission for good behaviour, when his behaviour had been the antithesis of good," he said.

No formal recommendations were made by Mr Cooper as the result of the inquest.

"Whether the circumstances of Cook's imprisonment and early release are sufficiently causally connected with her death, so as to warrant the making of recommendations ... I do not consider I need to determine that issue," he said.

But Mr Cooper did make a number of comments regarding the provision of mental health services within the Tasmanian Prison Service which he noted were worthy of careful consideration by the prison's management.

These comments include implementing additional infrastructure to deliver health services to prisoners and detainees; ensuring prisoners and detainees with mental illness who exit prison receive a comprehensive mental health discharge plan and services have the capacity to meet their needs; and having each decision for remission reviewed by an independent body.

"The issues exposed by Mrs Delios' death, and looked at carefully in her inquest, included the provision of mental health services within the TPS, how remissions of sentence are granted and what happens to prisoners upon their release from prison," Mr Cooper said.

"It is apparent that there is considerable room for improvement, both while prisoners are serving sentences and after their release, especially those released suffering mental illness without any or adequate support.

"It is quite apparent that those responsible for managing the prison service in this state are well aware of these issues."

Speaking outside the Hobart Magistrates Court, Mrs Delios' daughter Maria Hall said she was yet to review the findings and did not have any comment at this stage.

"I'm feeling a bit of anxiety but it doesn't bring her back," she said.

A Department of Justice spokesperson said the government would carefully consider the comments and determine whether any further action to that already undertaken was appropriate.

"The TPS is continuing to work to improve support provided to people released from custody," the spokesperson said.

"In September 2018, the Departments of Justice and Health established a Prisoner Mental Health Care Taskforce, which has undertaken a robust review of processes and procedures relating to prisoner psychiatric care and assessments and prisoner discharges, to identify options for ensuring that these processes are as rigorous as they can be.

"Implementation of the 19 recommendations from the taskforce is well under way with many in the final stages of implementation.

"For example, Correctional Primary Health Services, in negotiation with the TPS, was able to effectively double the time for which the prison hospital is open to see patients.

"Multi-Disciplinary Team meetings have been introduced to identify prisoners with particular mental health needs and mechanisms for ensuring those needs are met, and work is also being undertaken on an updated Service Level Agreement in relation to the provision of health services in the prison.

"Regular Multi-Disciplinary Team meetings comprising Correctional Primary Health Services and TPS personnel will continue, dealing with these processes and procedures."

Premier Peter Gutwein said what occurred to Mrs Delios was a terrible thing.

"I can't express how sorry I feel for the family and it's important we learn from this particular incident," Mr Gutwein said.

Prisoners Legal Service Tasmania chairman Greg Barns said once again the gross inadequacy of Tasmania's prison system had been revealed.

"Many prisoners suffer from mental illness, including acute mental illness. The current system simply warehouses them with no support or aftercare when they leave prison," Mr Barns said.

"We urge the government to ensure Coroner Cooper's suggestions become a reality quickly. Prisoners in Tasmania are not treated with humanity and respect on release.

"Those with chronic physical and mental health problems are sent into a prison system which is grossly under resourced to deal with health."