Australians feeling confident ahead of federal budget

article header

Many Australians appear have a good feeling about the upcoming federal budget, with higher consumer confidence and lower inflation expectations being recorded by Roy Morgan.

According to the recent ANZ-Roy Morgan Australian Consumer Confidence report, the nation’s consumer confidence grew by 0.7% to 119.2 at the start of May, reaching its highest point in 11 weeks.  

This increase was attributed to improvements in household views toward current financial and economic conditions, offset by lower expectations of future economic conditions. 

According to ANZ head of Australian economics, David Plank, part of this improved sentiment could be attributed to expectations of personal tax cuts in the upcoming budget:

“Our estimates suggest that the tax cut, if implemented, would translate to a modest increase in disposable income for low-and-middle income earners. Even so, this should provide some support to household spending, particularly since wage growth is expected to improve only gradually.”

Roy Morgan research also found that Australia’s inflation expectations fell to 4.3% at the end of April, down 0.1% from the previous month. Inflation expectations have now fallen for consecutive months and are now lower than a year ago for the first time since December 2016.

Roy Morgan CEO, Michele Levine, said that analysis of inflation expectations by political affiliation revealed that LNP voters had the lowest inflation expectations at 3.9%, indicating “a level of comfort with the current economic environment that is favourable to the Government as it prepares to hand down what may be the last Federal Budget before an election later this year or early in 2019.”


^Words such as "top", "best", "cheapest" or "lowest" are not a recommendation or rating of products. This page compares a range of products from selected providers and not all products or providers are included in the comparison. There is no such thing as a 'one- size-fits-all' financial product. The best loan, credit card, superannuation account or bank account for you might not be the best choice for someone else. Before selecting any financial product you should read the fine print carefully, including the product disclosure statement, fact sheet or terms and conditions document and obtain professional financial advice on whether a product is right for you and your finances.

Compare your product with the big 4 banks, or add more products to compare
As seen on