Australia's next governor-general will be retired General David Hurley.

Key points: The former senior Army officer and current Governor of NSW is seen as a conservative and safe choice that will have bipartisan support

The former senior Army officer and current Governor of NSW is seen as a conservative and safe choice that will have bipartisan support Current Governor-General Peter Cosgrove will have term extended by a few months to allow his replacement to stay in his current role during the NSW state election in March

Current Governor-General Peter Cosgrove will have term extended by a few months to allow his replacement to stay in his current role during the NSW state election in March Labor welcomed the appointment, but was critical of being "informed this morning … but not consulted" regarding decision

Prime Minister Scott Morrison made the announcement from Parliament House in Canberra this morning.

Governor Hurley is a former senior Army officer and is the current Governor of New South Wales.

He was awarded the Distinguished Service Cross for his leadership during Operation SOLACE in Somalia in 1993.

The ABC understands he is seen as a conservative and safe choice that will have bipartisan support.

Governor Hurley said he was honoured to accept the position, if not surprised to get the call from the Prime Minister requesting he take up the role.

David Hurley will take up the role in 2019, after he finishes his time as New South Wales Governor. ( ABC News: Tamara Penniket )

Flanked by his wife of 40 years, Linda, and their family, he said he would have missed the opportunity to continue meeting "extraordinary Australians" after his term as New South Wales Governor ended next year.

"I have certainly confirmed in my own mind over the past four years, something that I had sensed about Australia, but really hadn't had the opportunity before to witness on a day-to-day basis - that Australia is a very rich country in a non-material sense," he said flanked by Mr Morrison at Parliament House in Canberra.

"Australians have an amazing and, indeed, an enormous capacity to contribute their time, their energy, their talents, their emotions, their care and indeed their money to assist others, and I look forward to continuing to be involved with them in these pursuits."

David Hurley, in his role as NSW Governor, visits Army Reserve soldiers near Rockhampton. ( Supplied: Defence )

Current Governor-General Sir Peter Cosgrove was due to retire when his five-year term ended in March next year.

But his term will be extended by a few months to ensure Governor Hurley can remain New South Wales Governor during that state's election in March, and Sir Peter can hold the position of Governor-General during the federal election.

Mr Morrison said Governor Hurley was his "first and only choice" to replace Sir Peter.

"General Hurley and Mrs Hurley have a humility about them, which I think is entirely inspiring," the Prime Minister said.

"Their ability to connect with people, just one on one … there's an easiness to the way they connect with their fellow Australians."

Labor frontbencher Jim Chalmers said Labor welcomed the appointment, but was critical of the process.

"As I understand it, Bill Shorten was informed this morning of the decision but not consulted," Mr Chalmers said.

"That is the disappointing aspect of this.

"Ideally, so close to the election, the Opposition would have been properly consulted on this appointment, which is so important to Australia."

Mr Morrison said it was appropriate for the Coalition to make the recommendation to the Queen, because it was the Government of the day.