New terror chief

Armed police during siege at Lindt Cafe on December 15. Picture: Mark Metcalfe/Getty Images

The Federal Government will appoint respected diplomat Greg Moriarty to the newly created job of national counterterrorism co-ordinator.

Mr Moriarty, a former ambassador to Indonesia and Iran, is to synchronise the work of intelligence and security agencies, federally and with States and Territories.

The position was recommended in a review after the Lindt cafe siege in December when gunman Man Haron Monis held 18 people hostage.

The review found Australia was entering a new, long-term and heightened terror threat with a much more significant "homegrown" element.

It envisaged Canberra taking a bigger role in helping deal with threats from radicalisation, especially of the young and impressionable.

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National security is expected to be a strong theme in Parliament and the Government is expected to introduce tougher citizenship rules soon.

Prime Minister Tony Abbott said people in the armed forces of a nation at war with Australia automatically lost citizenship and the Government flagged extending that to people involved with terrorist groups effectively at war with Australia.

In the past month, agencies have disrupted two terrorist attacks in Melbourne and six since September. There were two actual attacks.