Like many of the tracks on Low Budget, it applies to the economic troubles occurring during the time that the album was released, such as strikes in Great Britain.

[1][2] However, AllMusic's Richard Gilliam claimed that the track's theme could "easily apply to just about any modern recession".

[4] The singer describes himself as once being well dressed and able to afford cigars, but now has to buy discount clothes and chew mints.

[4] When asked which guitar performance he was most proud of, The Kinks' guitarist Dave Davies noted "Low Budget," as well as "You Really Got Me," as a favorite.

So “Low Budget” and, obviously, “You Really Got Me.”When it was released as the B-side of "(Wish I Could Fly Like) Superman," Trouser Press described "Low Budget" as being "raunchier" than its A-side, going on to comment on the rawness of Ray Davies' vocal and stating that "Ray's never been funnier nor Dave's guitar tougher sounding.