The increase in expenses for health from last year's budget has been largely driven by the ongoing response to coronavirus, with $1.1 billion set aside for hospitals and $750 million for testing nationwide.

Tasmania stands to get an additional $50 million for its continued public health response to COVID-19.

However, stakeholders have warned the budget fails to factor in measures needed for dealing with the long-term impacts of COVID-19 - with Tasmanians particularly vulnerable to poorer outcomes.

Tasmanian chairman of the Royal Australian College of General Practitioners Dr Tim Jackson said while the budget was understandably focused on recovery, it didn't factor in a long-term strategy - particularly around preventative health.

"We welcome the Telehealth expansion until March, but we also think it's important for that to be an ongoing, permanent thing. Particularly because it helps the most vulnerable people make sure they can get access to GP services," he said.

"The money has been spent responding to COVID, which is appropriate, but we also have to be thinking about after immunisation comes.

"We are always hearing about hospitals and hospital beds, but really to get on top of it all we have to look at preventative healthcare.

"We need to be doing things now that stop people from going to hospital in 20 years."

Dr Jackson has called for a closer coordination of federal, state and primary health sectors.

Meanwhile, the Australian Medical Association has welcomed additional funding for public hospitals despite the budget leaving most challenges in health care "for another day".

Tasmanian president Dr Helen McArdle said the extension of the eligibility from 24 to 31 years for children to remain as dependants on their parent's private health insurance policies would also help alleviate pressures on the public system, down the track.

However, she warned the challenges facing Tasmania's public hospitals must not be forgotten.

"We would have liked to see more preventative health and long-term public hospital funding," she said.

"Even with this budget there is going to be a huge deficit that then has to be paid back.

"Hopefully as COVID settles down, if it does, there will be a renewed focus on these areas.

"Because we are desperately in need of more public hospital funding in Tasmania."

Unions have also questioned the government's promise of providing meaningful support to frontline workers.

Australian Nursing and Midwifery Federation Tasmania branch secretary Emily Shepherd said there were some obvious omissions.

"The ANMF and our members had hoped for a proactive budget that prioritised health workers and the community's healthcare needs during these unprecedented times," she said.

"While some positive steps have been taken, particularly in the area of COVID-19 recovery, other areas remain in desperate need of reform."

Ms Shepherd said commitments of $133.6 billion for hospital capacity, $750 million to support continued COVID19 testing, including for essential workers, and $170.8 million for the continued operation of up to 150 dedicated respiratory clinics to manage and diagnose COVID19 cases was welcomed.

However, she said it remained unclear how the funding would be rolled out in Tasmania or if it would be enough to address issues of bed block plaguing the state's hospitals.

"We obviously need more detail to drill down into what it actually means for Tasmania," she said.

"But I think the fact we are experiencing significant bed block and capacity issues across all of our state's acute public hospitals, it's a welcome announcement.

"Obviously we need to be sure that the funding will flow to Tasmania to assist in that regard."

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