Coalition MPs have privately expressed concern that Opposition Leader Angus Taylor’s proposed welfare crackdown on migrants could be interpreted by voters as blatantly racist, despite repeated assurances from Taylor’s office that the racism is purely economic in nature.

The policy – which would exclude many permanent residents from family tax benefits, Jobseeker, NDIS, the disability pension and other payments – has been seen by many as an attack on recent migrant populations. The backlash has some Coalition MPs worried.

“There is a real risk that people within the community will get the wrong idea, and misinterpret these racist policies as being racist. I'm sure Angus did not intend these racist policies to be racist, but they are being perceived that way,” one unnamed MP said.

But a spokesperson for the Opposition Leader’s office said the policy was not about focusing on race, and rather about implementing Coalition values, such as just subtly implying race.