Another survey has shown consumer confidence flagging in the wake of the Federal Budget. The Westpac-Melbourne Institute’s monthly survey of consumer confidence found consumer sentiment falling by 1.1 per cent, from 99 to 98. In Westpac’s index, 100 represents an equal weighting of pessimism and optimism.
The survey was conducted four days after Treasurer Scott Morrison delivered the Budget.
It also follows this week’s ANZ Roy Morgan survey which had similar findings.
Asked “What impact do you expect the budget to have on your family finances over the next 12 months?”, the Westpac survey showed 7 per cent saying conditions would improve and 33 per cent said things would get worse.
“The disappointment for the Government will be that despite its high expectations and its focus on spending — particularly in infrastructure, education and health — consumer sentiment remains “stuck” below the significant 100 level, indicating that pessimists continue to outnumber optimists,” Westpac chief economist Bill Evans said.