Prime Minister Tony Abbott has dismissed Clive Palmer's call for a mini-budget as the government struggles to win over crossbench support for its tough measures.
The Palmer United Party leader says the budget strategy has failed, accusing Treasurer Joe Hockey of lying by suggesting Australia could lose its triple-A credit rating.
Mr Palmer is totally opposed to the government's latest welfare crackdown that would require unemployed Australians to apply for 40 jobs a month.
He is also insisting the spending measures linked to the mining tax, which the government wants to repeal, are retained.
Mr Abbott says Senate crossbenchers need to respect the coalition's mandate to get the budget back under control.
"We cannot continue spending money that we just don't have," he told Fairfax radio on Thursday.
Treasurer Joe Hockey has been in talks with a number of crossbenchers in recent days and is planning to meet PUP senator Jacquie Lambie in Tasmania on Thursday.
Responding to calls for a mini-budget, Opposition Leader Bill Shorten said everyone except the prime minister and treasurer believes this is a "grotesquely unpopular" budget.
"We believe in sensible reforms over the medium term to our budget, but we don't believe that any case has been made by Joe Hockey or Tony Abbott to engage in incredibly difficult cuts," Mr Shorten told reporters in Sydney.
Labor left the budget in reasonable shape at the last election, he said, noting that Australia's triple-A rating remains intact.
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