A group representing psychologists is predicting a major fallout from cuts to government-funded therapy sessions.

The Federal Government is reducing the number of psychology sessions patients can claim on Medicare from a maximum total of 18 per calendar year to 10.

Medicare limits sessions to 12 per patient but allows for additional services where exceptional circumstances apply.

The Association of Counselling Psychology says 10 hours is not enough time for a psychologist to adequately treat someone suffering from mental illness.

Spokesman and Perth-based practitioner Ben Mullings says many patients who cannot afford to pay the full price for treatment will not bother seeking help if they know they will have to discontinue treatment after 10 sessions.

"What we're really concerned about is that clients are going to get lost in that process, and we don't want to see consumers who are reaching out for help, really falling through these little bureaucratic gaps in the system," he said.

"Eighty-one per cent of the people who are accessing these services have been shown to have severe to extreme levels of symptom severity."

But the Federal Government says it has shifted its focus to general practitioners because they play an important and more cost-effective role in delivering mental health services.

Mental Health Minister Mark Butler has released a statement saying the Government is providing incentive payments to GPs who complete six hours of mental health training.

EDITOR'S NOTE: Since this story was published a spokesman for Health Minister Nicola Roxon told the ABC that the number of psychology sessions patients can claim is being cut from 12 to 10.