Prime Minister Tony Abbott has, with one fell swoop, ensured extended chemotherapy treatment for 150,000 Australians and fixed a failing of the former government.

The Federal Government has made $80 million available to continue providing chemotherapy infusions into the new year.

Prime Minister Tony Abbott said the previous government under Labor had neglected to sign off on the continuation of the fund.

“Unfortunately, the former government had failed to fund chemotherapy infusions past January 1,” PM Abbot said.

“They were leaving patients in limbo over Christmas and so we are cleaning up this particular Labor mess.

“It's very important that people who are receiving treatment for serious illness are confident that that treatment is going to continue,” he said.