In comments to The Canberra Times, Prime Minister Anthony Albanese has insisted the move is about expanding and restructuring healthcare and not, he says, driven by religion, nor is it providing a precedent by the ACT government.

But, in a joint statement from Opposition Leader Peter Dutton, shadow attorney-general Michaelia Cash and opposition health spokeswoman Anne Ruston, the three refer to the Prime Minister's "weak capitulation" to the Barr Labor-Green government over the "unprecedented" acquisition of Calvary.

"The Prime Minister must reconsider and intervene," the statement reads.

"This is a territory law. The Commonwealth government can and should intervene to override the ACT government and make clear that it will not stand for this outrageous hostile acquisition."

The forced acquisition, the biggest in the history of the ACT's self-government, has emerged after negotiations between the ACT government and the Little Company of Mary, the Catholic organisation that runs Calvary, broke down. Calvary will take legal action against the ACT government over the forcible acquisition of its Bruce public hospital.

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The federal opposition has accused the ACT government of rushing legislation in the Legislative Assembly to allow the compulsory acquisition to take place from July 3.

"The federal Coalition is both amazed and aghast at the manner in which the ACT government has gone about this process - with little consultation or contact with the Catholic Archdiocese of Canberra and Goulburn who have successfully operated this facility for decades," the statement reads.

"Such is the gravity of this extraordinary situation, the federal Coalition is amazed that the Prime Minister has washed his hands of this issue."

The opposition has described the move as an "extraordinary attack on freedom of religion and on the rights of private and religious health care providers to care for the sick".

"It sets a dangerous and unsettling precedent for every faith-based school, aged-care provider, or social welfare service," the statement reads.

"The ACT government's legislated asset grab of Calvary Hospital sends a chilling signal to religious and private healthcare providers: if you don't submit to ideological left governments, they will come after you.

"Its a disgrace and the Prime Minister and all ACT Labor federal members and senators should stand up and put an end to the ACT government's shameful takeover grab of Calvary Hospital."

It comes a day after Mr Albanese, himself a Catholic, entered the dispute, insisting the move was not driven by religion.

"The ACT government are expanding their public hospital service delivery and restructuring healthcare provision as a result," Mr Albanese told this masthead.

"It is not seen as providing any precedent by the ACT government and should not be by anyone else.

"The provision of services by catholic and other faith based entities in health, aged care, education, childcare, welfare and other areas is an important part of Australia's social infrastructure."

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