Budget sparks business says Hockey

The federal budget has sparked a real buzz among the South Australian business community, Treasurer Joe Hockey says.

Mr Hockey says he's encouraged by the rise in consumer confidence reported on Tuesday and has urged local business operators to continue to invest to grow their companies.

"There's a real energy around the business community, a real energy around small business," Mr Hockey said during a visit to a bakery in Adelaide.

"There's certainly a sense of energy around the budget, which we welcome."

After tasting the cakes on offer at Kalymnos Pastries, Mr Hockey said the company was a great example of the many successful small family businesses across the country.

"I love these stories, they're employing Australians, they're paying tax in Australia, they're innovating in Australia, they're having a go," he said.

Mr Hockey said bakery owner George Diakomichalis intended to use the small business tax deductions from last week's budget to buy new equipment which would help boost the returns on his investment.