Voters have delivered a harsh verdict on the federal budget in two separate opinion polls, yet the government remains steadfast in its defence of negative gearing reforms as the correct approach to tackling Australia's housing crisis.
Polls Show Disapproval
The latest surveys, conducted by major polling organisations, reveal that a majority of Australians are unhappy with the budget handed down by Treasurer Jim Chalmers earlier this month. The polls indicate that key measures, particularly those related to housing and cost-of-living relief, have failed to resonate with the electorate.
One poll found that only 32 per cent of respondents approved of the budget, while 48 per cent expressed disapproval. The remaining 20 per cent were undecided. Another survey recorded similar figures, with the government’s economic management receiving low marks.
“We didn’t expect a bounce from this budget,” a senior government source admitted, acknowledging the lukewarm reception. The polls suggest that the government’s messaging on housing affordability has not convinced voters, despite the centrepiece negative gearing changes.
Government Defends Negative Gearing Overhaul
Despite the negative polling, Treasurer Jim Chalmers and Housing Minister Julie Collins have strongly defended the budget’s housing package. The reforms include limiting negative gearing to new properties and increasing capital gains tax discounts, aimed at curbing investor demand and boosting housing supply.
“We are taking the right steps to make housing more affordable for first-home buyers,” Chalmers said during a press conference at Parliament House. “These changes are carefully designed to balance the market and ensure more Australians can own a home.”
The government argues that the measures will gradually cool investor activity and redirect capital towards new construction. However, critics, including the opposition and some industry groups, claim the reforms will push up rents and reduce housing supply in the short term.
Political Fallout
The budget backlash has put pressure on the Albanese government, which has seen its polling lead narrow in recent months. The opposition has seized on the results, accusing the government of delivering a budget that fails to address the cost-of-living crisis.
Shadow Treasurer Angus Taylor said the polls confirm that Australians are “worse off under Labor.” He called for a reversal of the negative gearing changes, arguing they would hurt mum-and-dad investors and worsen rental affordability.
With the next federal election due within 18 months, the government faces a challenge in winning back voter confidence. Analysts suggest that the budget’s reception could shape the political landscape for the remainder of the term.
Housing Affordability Remains Key Issue
Housing affordability continues to dominate public discourse, with soaring prices and rents squeezing households across the country. The government’s budget also included measures such as increased funding for social housing and shared equity schemes, but these have been overshadowed by the negative gearing debate.
Independent economists have offered mixed assessments. Some support the government’s long-term approach, while others warn of unintended consequences. The Reserve Bank has noted that housing supply remains the fundamental challenge, and that policy changes alone may not be sufficient.
As the political debate intensifies, the government is expected to launch a public information campaign to explain the benefits of its housing reforms. Whether this will shift public opinion remains to be seen.
