The financial support and clean-up bill from ex-tropical cyclone Alfred will cost taxpayers $1.2 billion, while a further $1.7 billion will be paid out from the Cyclone Reinsurance Pool, Treasurer Jim Chalmers says.

Chalmers on Tuesday will tell the Queensland Media Club there will be a $1.2 billion or quarter-percentage point hit to gross domestic product in the March quarter due to the 12 million hours of work lost, but it is still too early to quantify the disaster’s full effects.