MELBOURNE, May 9 - The State Government says its hospitals will be short changed $2.1 billion, schoolswill be $700 million worse off and the training and TAFE sector will take a $60 million hit. 

"[There's] big tax breaks for banks and other big companies, paid for by patients in hospital, students in schools and young people who want to go to TAFE," Andrews told reporters at parliament on Wednesday.

"It's one thing to invest in that road and rail agenda, but who's going to build those things?"

The Victorian Labor Government says by refusing to pay the final year of the original Gonski package, the Federal Government makes the sector $700 million worse off.

"What are they calling it, Gonski 2.0? I'm calling it an education cut," State Treasurer Tim Pallas said.

But Federal Treasurer Scott Morrison says Victoria is playing politics.

"The fact is, schools funding is around $18 billion this year, that's a record," Morrison told 3AW.

"It's rising to $30 billion over the next 10 years."

However, Victoria is getting $7.8 billion for roads and rail with many of the allocations announced before the Budget, including up to $5 billion for a rail link between Melbourne Airport and the city. 

There was also $1.75 billion for the North East Link and $457 million for a rail link between Monash University's Caulfield and Clayton campuses.

A business case on route and cost options for the airport rail is due in September and the State Government says it is waiting on that before finalising anything.

But the Turnbull Government wants an equity arrangement, in which it would get a return on its investment on the train line.

"We do believe that where there is an opportunity to secure a return, rather than just provide a grant, that is an appropriate way to protect the interests of taxpayers," Finance Minister Mathias Cormann told ABC Radio on Wednesday.

Another $20 million has been put aside to get Avalon Airport ready for overseas flights, and there's $50 million over four years for a hydrogen energy supply chain pilot project in the Latrobe Valley.

The Budget confirms the state will receive $2.1 billion for its share of Snowy Hydro, but only if it invests the proceeds into infrastructure projects.

State Opposition Leader Matthew Guy said it was a reasonable budget and defended the equity proposal for airport rail.

"Looking for new ways to do business" was a "good thing", he said.

AAP