Huge majorities of Australian Consumers (88%) and Businesses (74%) not happy with Joe Hockey’s first Federal Budget

• Despite it being a Liberal Government, 76% (up 4% since pre-Budget) of Liberal supporters say last night’s Federal Budget will not benefit them or their families compared to just 24% (down 4%) that say the Federal Budget will benefit them.
• ALP supporters are even more worried – 96% (down 1%) believe the Federal Budget will not benefit them and their families and only 4% (up 1%) believe it will.
• Greens supporters are as negative as ALP supporters – 96% (down 1%) say the Federal Budget will not benefit them and their families and only 4% (up 1%) say it will.
• Similarly, 94% (up 2%) of supporters of Other parties say the Federal Budget will not benefit them and their families and only 6% (down 2%) believe it will.

• Although businesses are overwhelmingly negative on the Federal Budget with 74% (down 3%) saying the Federal Budget will not benefit their business compared to 26% (up 3%) that say it will – slightly less negative than businesses were pre-Budget.
• Micro businesses (under 5 employees) are still the most negative on the Federal Budget with 78% (down 2%) saying it will not benefit their businesses and only 22% (up 2%) saying it will.
• In contrast, Large businesses (200 employees+) who were the most positive about the Budget last week, are the only type of businesses that are now less positive about the Federal Budget with 72% (up 4%) saying last night’s Budget will not benefit their businesses compared to only 28% (down 4%) that say it will.

• Treasurer Joe Hockey’s first Federal Budget has been seen slightly more negatively than former Treasurer Wayne Swan’s sixth, and final, Federal Budget delivered a year ago.
• Last year’s Roy Morgan Consumer Pulse showed 84% (compared to 88% this year) of Australians didn’t expect Swan’s final Federal Budget to benefit them before last year’s Budget and 86% (compared to 88% this year) said after last year’s Budget that it didn’t benefit them.

Gary Morgan, Executive Chairman Roy Morgan Research, says:

“Australian consumers (88%) and businesses (74%) overwhelmingly believe Treasurer Joe Hockey’s Federal Budget last night will not benefit them according to today’s special Roy Morgan Business and Consumer Pulse. The results are little changed from a pre-Budget Business & Consumer Pulse conducted last week which found 88% of consumers and 77% of businesses expected the Federal Budget wouldn’t benefit them.

“The results are unsurprising given new taxes are always unpopular – a ‘deficit levy’ on Australians earning over $180,000, a twice yearly increase in the fuel excise being brought back after being ditched by Prime Minister John Howard in 2001 and a $7 surcharge for each visit to a doctor  being amongst the most prominent measures.

“These ‘negatives’ are somewhat offset by a commitment to increased spending on infrastructure – an extra $11.6 billion over the next six years bringing expected infrastructure spending for that time period to approximately $50 billion. In addition a medical research fund – which will be underwritten by the $7 medical surcharge, will provide extensive opportunities for medical research and innovation and is expected to reach $20 billion of funding over the next six years.

“However, apart from making people work for the dole, the Abbott Government has given little indication of how people who are currently unemployed or under-employed (2.4 million Australians according to the Roy Morgan April employment estimates) are going to find employment. Disappointingly, last night’s Federal Budget indicates the Government seems to have little interest in freeing the labour market and allowing people that want to work to do that work.

“Hockey’s first Federal Budget has been received slightly more negatively than former Treasurer Wayne Swan’s last Federal Budget delivered a year ago when 86% of Australians felt Swan’s final Federal Budget didn’t benefit them compared to 88% this year. These figures do clearly indicate the tough task that both sides of Federal politics have in convincing the public of their chose reform agenda.”