PRIME Minister Julia Gillard has rejected an "irresponsible campaign" from the Victorian government over the reason for cuts to hospitals and health care.
She says the commonwealth has actually increased funding to hospitals in that state.
Victorian hospitals have closed hundreds of beds and delayed thousands of elective surgeries as the two governments accuse each other of multi-million dollar health cuts.
Ms Gillard said the commonwealth contribution for health would be increasing by $900 million to $4.5 billion total over the next four years.
"Why are there cutbacks in Victoria? It is because of Victorian government cuts," she said during question time on Thursday.
"$900 million up from us, $616 million down from the Victorian government."
The prime minister suggested the Liberal MP who asked about the cuts, Alan Tudge, phone premier Ted Baillieu and ask him not to slash funding further.
Meanwhile the Senate has voted to set up an inquiry into hospital funding.
Australian Greens health spokesman Richard Di Natale hoped the inquiry would bring transparency to recent cuts including those in Victoria.
Health Minister Tanya Plibersek will meet with her Victorian counterpart again next Wednesday in a bid to solve the bitter stoush over hospital funding cuts.
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