The ACT's budget deficit has blown out by another $107 million.
That takes the deficit from $253.6 million to $360.6 million, around triple the 2012-13 forecast.
But Treasurer Andrew Barr says the outlook will improve next year, with the budget deficit falling to $109.5 million, then to $20.5 million in 2015-16 and then a modest $11.2 million surplus in 2016-17.
Presenting the 2013-14 budget review, Mr Barr said the budget remained in a strong position with a return to a surplus in the forward estimates.
The deficit change was caused by a number of factors including bringing forward government grants, a downward revision of dividends and income following the review of water and sewerage pricing, and changes to valuation of superannuation liabilities.
Some positive factors for the outlook include population growth and low interest rates, which combined are expected to lead to improved household consumption and housing demand in the longer term.
"However, job security concerns are likely to see cautious consumer spending in the short term," he said in a statement.
The ACT budget will be presented on June 3.
