A bit of high-end musical chairs for federal public servants, with moves at the top of the Finance, Treasury and Health departments.

Secretary of the Department of Health, Jane Halton is now in charge of government expenses as the head of the Department of Finance.

Halton replaces David Tune, who is retiring from the public service this week.

Ms Halton’s move to Finance for a five year appointment, has triggered some speculation that she will become the successor to incumbent APS chief and Secretary of the Department of Prime Minister and Cabinet, Dr Ian Watt.

Speculation abounds around the identity of the replacement for outgoing Treasury head Martin Parkinson.

Parkinson is set to leave his job in December this year, and the Prime Minister says he will “announce arrangements for the position of the Secretary of the Department of the Treasury at a later date”.

Mr Abbott also said that an announcement on the chief of the Health department will be made “in the near future”.