ACT deficit blows out by $71 million

The ACT government's deficit is forecast to blow out by $71 million to $479 million this financial year mostly because of superannuation expenses.

The territory government released its mid-year budget review on Friday which includes a move to index the water abstraction charge to two per cent which will raise $565,000 in its first year and $1.27 million in 2017-18.

Householders are also expected to face an extra hit on power and phone bills because the tax on utility networks will increase to 10 per cent in 2016, before dropping back to five per cent indexation the following year.