Gillard justifies levy compromise

Prime Minister Julia Gillard has justified a deal she struck with some crossbenchers to secure parliamentary passage of the government's controversial flood levy.

She says the compromises to previously-announced spending cuts represent less than three per cent of the relief package.

Ms Gillard has secured the backing of the Greens and some crossbenchers for Labor's 1.8 billion dollar taxpayer levy by rolling back savings originally targeted in raising the 5.6

billion dollars for the flood recovery package.

Assistant Treasurer Bill Shorten has told parliament there was no contradiction by Treasurer Wayne Swan when he said he'd have to find additional budget savings to pay for the flood package.

The government still needs one more vote to get its flood levy through the Senate.