POLLING: Taxpayers Have Advice for New Competitiveness Council

Massachusetts’ competitiveness crisis is getting harder to ignore – and Governor Maura Healey’s new advisory council is the latest attempt to turn things around.

Over the last decade, despite the Commonwealth’s many strengths, Massachusetts has become a harder, more expensive place for people and businesses to thrive. The cost of living is high, quality housing is expensive and hard to find, and the rising cost of doing business has forced many companies to invest elsewhere, bringing their employees and job opportunities with them. In fact, compared to last year, more taxpayers believe the state is headed in the wrong direction, and one in three say their quality of life is getting worse.

Economic Development Secretary Eric Paley said the new council on competitiveness aims to reverse this trend by listening to “voices from across the Commonwealth to ensure Massachusetts remains the best place to start, scale, and succeed.” In addition to employers and business operators, the Council should also be sure to listen to taxpayers who are also being squeezed by the state’s competitiveness crisis.

Our latest polling captures taxpayer sentiment, offering fresh insights into what Massachusetts residents care most about — and how they want the council to respond. Let’s take a closer look.

Cost of Living and High Taxes Remain Top Priorities for Taxpayers

When asked what taxpayers would like to see the new competitiveness council focus on, the majority said reducing cost of living (80%) and lowering taxes (61%), and nearly half said encouraging new job creation (48%). (Respondents had the option to select more than one answer.)

These sentiments hold across income brackets, and those earning less than $100,000 annually are even more adamant about reducing the cost of living and lowering taxes. Democrats, Independents, and Republicans also agree these are the top priorities for getting the state back on track.

Amid Federal Funding Pressures, Taxpayers Do Not Agree with Raising Taxes

Federal funding changes pose new challenges for the Massachusetts economy, leading some state labor groups to push for higher taxes as the only solution.

Yet this knee-jerk reaction is out of step with most taxpayers, including union members.

We asked voters how Massachusetts should respond to a potential reduction in revenue due to federal changes, which state officials currently estimate could be roughly 1% of the state budget. Just 7% of respondents said the state should raise taxes, while more than two-thirds said the state should trim state spending instead. Even among households of union members, only one in 10 agreed with union leadership’s call for raising taxes to address the estimated revenue shortfalls.prove affordability and make Massachusetts a more attractive place to live and work.

Conclusion

It is encouraging that the Governor and state leaders have acknowledged taxpayers’ and employers’ concerns about the state’s declining ability to make living and doing business affordable in the Commonwealth.

The new advisory council is a good first step in identifying solutions, but its success will depend on whether lawmakers listen to their constituents, including the taxpayers who say taxes and cost of living are top of mind.