Household spending up 3.6% in the last 12 months
Household spending was 3.6 per cent higher than a year ago, according to figures released today by the Australian Bureau of Statistics (ABS).
Robert Ewing, ABS head of business statistics, said: “Growth in household spending has risen from its low point in December 2023.
“The 3.6 per cent rise in spending follows increases of 1.2 per cent in December, and 2.9 per cent in January.”
“Spending on transport rose 12.3 per cent, making the largest contribution to total spending growth, as automotive fuel prices increased 4.1 per cent as shown in the monthly Consumer Price Index Indicator.
“Consumers are also spending more on transport services such as air travel, tours, and cruises compared to the same time last year,” Mr Ewing said.
Spending on discretionary goods and services fell 0.2 per cent, while non-discretionary spending rose 6.9 per cent, highlighting the shift in consumer behaviour due to cost-of-living pressures.
Compared to the same time last year, household spending rose in all states and territories.
The largest rises in spending were seen in South Australia, up 7.9 per cent, and the Australian Capital Territory, up 7.6 per cent.
All states and territories had higher spending growth rates than in January. South Australia had the largest rise, up from 4.0 per cent in January to 7.9 per cent in February.
Media notes
- The leap year day on February 29 has been accounted for in the calendar adjusted estimates. The calendar adjustment process accounts for this through a length of month adjustment. The impact of the extra leap year day will be evident in the original (non-calendar adjusted) series. For further information about the impact of the leap day on seasonally adjusted estimates in other publications, please refer to this note.
- The indicator is produced using aggregated and de-identified card and bank transactions from banking and financial institutions.
- The indicator is produced in current price original and current price calendar adjusted terms only.
- Until the indicator is seasonally adjusted, it is advised to focus on annual comparisons (e.g. February 2024 compared to February 2023).
- Significant events such as COVID-19 can lead to very strong annual rises. Care should be given when comparing periods with these events.
- Care should be given when comparing Household Spending Indicator estimates with other ABS products. See the Methodology page for further information.
- When reporting ABS data you must attribute the Australian Bureau of Statistics (or the ABS) as the source.
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