Contrary to what the Treasurer says, class is definitely not dead in Australian politics. Which is why policy differences on things like tax cuts and penalty rates will continue to gain so much traction this election. Peter Lewis writes.

While Treasurer Scott Morrison has declared that Australians are "over us and them" in their politics, declaring an end to class warfare, the vast majority of his countrymen and women appear to disagree.

As the Turnbull Government constructs an historical year zero around their budget measures to deflect Labor's attack on the disproportionate direction of tax cuts, this week's Essential Report shows the public still has a keen sense of class consciousness.

When asked whether they believe class still exists in Australia more than 80 per cent of Australians across all party political lines answer in the affirmative.

Do you believe social classes still exist in Australia?

Total Vote Labor Vote Lib/Nat Vote Greens Vote other Yes 81% 86% 81% 94% 88% No 8% 4% 13% 1% 7% Don't know 11% 10% 6% 5% 5%

That finding is just the tip of an iceberg that adds real texture to an election contest that has two predictable drivers - managerialism and special interests.

The debate on managerialism is based around economic competence - deficits and national GDP, interest rates and key economic indicators, often presented as if the numbers are an end in themselves.

This is spiced by the special interest stages in the life cycle - education and childcare for those with young families, health for the aging, housing affordability for those who want to enter the market, industry protection for those who perceive their job is at risk.

That's the baseline of retail politics - tailor issues that affect a particular demographic, assert your credentials to deliver and enter a policy candy bidding war. If class politics were dead, this would be the end of the story.

But it's not dead - with 84 per cent of Australians identifying as belonging to a particular class.

Do you consider yourself -

Total Vote Labor Vote Lib/Nat Vote Greens Vote other Working class 34% 42% 28% 26% 40% Middle class 48% 44% 62% 48% 39% Upper class 2% 2% 1% 2% 2% None of them 10% 9% 6% 20% 17% Don't know 5% 3% 3% 4% 3%

Some interesting things to note. One third of Australians identify as working class, about half as middle class, nearly no one as upper class. Labor voters are split on their class identification, Liberals skew to the middle class. Surprisingly, Greens are most likely to eschew a class label.

Cut the numbers along household income lines and a richer story of modern class picture emerges.

Do you consider yourself -

Total Income under $1,000pw Income $1,000 - $1,500pw Income $1,500 - $2,000pw Income $2,000+ Working class 34% 46% 40% 31% 21% Middle class 48% 31% 45% 60% 67% Upper class 2% <1% 1% 2% 4% None of them 10% 19% 8% 4% 6% Don't know 5% 4% 6% 3% 3%

Class is in the eye of the beholder. Half of those earning under $50,000 per annum see themselves as working class, one third middle class. Those numbers rise with income until household incomes pass $100,000 at which point two thirds see themselves as middle class, although 21 per cent still see themselves as working class.

When asked which party represents which class, the loop is closed. Labor retains brand advantage for the third of the population that identifies as working class, while the champion of the middle class remains up for grabs.

What group do you think the Liberal Party/ Labor Party mainly represent?

Liberal Labor Working class 4% 39% Middle class 15% 17% Upper class 53% 10% All of them 12% 8% None of them 4% 13% Don't know 11% 13%

Indeed with Liberals being seen as representing just 15 per cent and Labor 17 per cent - the real insight for these findings could be the void that still exists at the centre of our political system: in the duopoly neither side claims ownership of the dominant middle class.

Instead the Liberals, whose vision was originally tied to this growing group of professionals and small business operators, are not seen by a majority as the party of the upper class. It's just that no one personally identifies with this cohort.

Converting this class identification to a vote, closes the psephological circle. Labor breaks with a clear 12 point advantage among those who identify as working class; the Liberals and Nationals have a bigger 18 point advantage on those identifying in the middle.

Total Working class Middle class Liberal/National 42% 34% 50% Labor 38% 46% 32% Greens 9% 8% 8% Other 11% 14% 9%

And my point? On all this evidence it is just not right to argue that class is dead in Australian politics.

It's why a corporate tax cut and funding to public schools and the maintenance of weekend penalty rates and the avoidance of tax by the wealthy are all issues that transcend managerialism or interest-based politics.

It's why the Government will be challenged on class during the election and why they will need to respond rather than to bat it away as an historical anachronism.

As Warren Buffet famously declared: "There's class warfare, all right, but it's my class, the rich class, that's making war, and we're winning."

Peter Lewis is a director of Essential Media Communications (EMC), a public affairs and research company specialising in campaigning for progressive social and political organisations. He tweets at @PeterLewisEMC.