Abbott downplays early budget response

Early responses to the Abbott government's second budget have been extremely positive but the prime minister isn't punching the air in public.

Greens leader Richard Di Natale (C) and his leadership team

Joe Hockey hopes that the new Greens will be more sensible when it comes to dealing with the budget. (AAP)

If Tony Abbott is pleased by voter response to his government's second budget, he's not getting too cock-a-hoop about it.

Two post-budget polls, published on Monday, show Mr Abbott's standing as prime minister improving, with one of them finding the coalition now neck-and-neck with Labor after a year of being behind.

"I don't focus on polls, I focus on government .. what's good for the people of Australia," he told reporters in Mackay on Monday.

Treasurer Joe Hockey agreed, saying he is happier that Australians are prepared to "have a go".

"That's what lifts my spirits - when everywhere I go people are saying they are going to buy that bit of equipment for their business," Mr Hockey said.

The budget features a $5.5 billion small business package that includes a $20,000 instant asset write-off as well as other tax breaks.

Mr Abbott said the package was good for confidence and will be a shot in the arm for small business.

The treasurer later said he would love to do more for business, but couldn't afford it.

"If you guys go out and spend money and employ more people and I'll get a bit more money and we can go again," he told a NSW Business Chamber post-budget lunch in Sydney.

Even so, a new survey showed the small business tax breaks couldn't have come soon enough.

The Australian Chamber of Commerce and Industry survey found companies struggled through difficult trading conditions during the March quarter.

Expectations for their own business declined for the sixth consecutive quarter.

"The budget initiatives, combined with record low interest rates, should help small businesses rediscover their mojo," chamber chief executive Kate Carnell said.

Reserve Bank deputy governor Philip Lowe has indicated the central bank still has scope to cut its cash rate - already at a record low of two per cent - even further, but he told a conference in Sydney that doesn't mean it will.

Some other elements of the budget supporting a families package could still face hostility in parliament's upper house.

Opposition Leader Bill Shorten said families shouldn't be faced with unfair cuts if they have children older than six.

But Mr Hockey has sized up such opposition and believes the pressure is on Mr Shorten to start being more co-operative, while he is hopeful for a better relationship with the Greens.

"(Former Greens leader) Christine Milne was a very difficult person to deal with ... I'm hopeful that the new Greens leader Senator Di Natale is going to be far more sensible," he said.


Share

3 min read

Published

Updated

Source: AAP


Share this with family and friends


Get SBS News daily and direct to your Inbox

Sign up now for the latest news from Australia and around the world direct to your inbox.

By subscribing, you agree to SBS’s terms of service and privacy policy including receiving email updates from SBS.

Download our apps
SBS News
SBS Audio
SBS On Demand

Listen to our podcasts
An overview of the day's top stories from SBS News
Interviews and feature reports from SBS News
Your daily ten minute finance and business news wrap with SBS Finance Editor Ricardo Gonçalves.
A daily five minute news wrap for English learners and people with disability
Get the latest with our News podcasts on your favourite podcast apps.

Watch on SBS
SBS World News

SBS World News

Take a global view with Australia's most comprehensive world news service
Watch the latest news videos from Australia and across the world