Braddon Centrelink will be shut down in December.
The Services Australia centre will not be replaced, with people in the area to be directed to the Gungahlin Centrelink office.
The shopfront was previously revealed to be at risk of closure when someone in member for Canberra Alicia Payne's office noticed it was advertised for lease on Facebook.
Now, Ms Payne says Government Services Minister Linda Reynolds has confirmed the closure.
"Braddon Centrelink is a vital service for those living in central Canberra, and the only shopfront in the entire Canberra electorate," Ms Payne said.
"I am incredibly disappointed by this decision and the way in which they have gone about making it."
At a small protest outside the service centre in July, social work student Josh Yeend said he had "never felt judged" at the Braddon Centrelink.
"I never felt as if they were being condescending," he said at the time.
"I am worried that if the closure of one leads to a further understaffing and increased workload [at other Centrelink offices] they won't be able to offer the same amount of time they already offer."
In a letter sent to Ms Payne earlier this year, Ms Reynolds said there was less demand for face-to-face services as many Australians were accessing Centrelink through their phones and online.
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