Copenhagen attack an affront to one of our fundamental values: Prime Minister Tony Abbott. Photo: Andrew Meares

Prime Minister Tony Abbott has condemned a "brutal" shooting in Denmark as an affront to free speech, also flagging further efforts aimed at securing Australia's borders amid growing concerns about the threat of terrorism attacks on home soil.

Mr Abbott, in a statement issued on Sunday, said the thoughts of all Australians were with the Danish people.

"As with the Charlie Hebdo atrocity in Paris, the Copenhagen attack is an affront to one of our most fundamental values - freedom of speech," Mr Abbott said.

"We stand with the people and government of Denmark in confronting this cynical attempt to undermine that fundamental right."

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Earlier, the prime minister signalled security at Australia's borders would be ramped up.

Mr Abbott, who will deliver a national security statement on Monday week, said the rise of Daesh, or Islamic State, had seen new threats emerge, "where any extremist can grab a knife, a flag, a camera phone and a victim and carry out a terror attack".

Authorities on Friday confirmed police and a prayer hall were among targets uncovered by investigations into two alleged terrorists arrested in western Sydney last week.

A number of items were seized from the home of Omar Al-Kutobi, 24, and Mohammad Kiad, 25, allegedly including a machete, hunting knife and homemade Islamic State flag, as well as a video that allegedly shows one of the men vowing to launch an attack in the name of IS.

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Copenhagen attacks an 'affront to freedom of speech': Tony Abbott