2026.08.0401:57:24UTC+00Australia Personal Spending Slows, Still Beats Forecasts

Household spending in Australia rose by 0.8% month-on-month in June 2026, easing from a marginally revised 1.2% increase in May and marking the slowest pace of growth since February. Nonetheless, the result came in well above market expectations of a 0.2% rise.

Growth in spending moderated across several categories, including food (0.3% vs 1.1% in May) and furnishings (0.6% vs 0.8%). Meanwhile, declines were recorded in clothing and footwear (-0.7% vs 2.4%), hotels, cafes, and restaurants (-0.1% vs 1.8%), and miscellaneous goods and services (-0.6% vs 2.2%).

In contrast, expenditure picked up in alcohol and tobacco (1.0%), health (0.3%), transport (3.0%), and recreation (1.4%).

Regionally, all states and territories posted gains: New South Wales (1.0%), Victoria (0.6%), Queensland (0.4%), South Australia (0.5%), Western Australia (1.3%), Tasmania (1.6%), the Northern Territory (0.2%), and the Australian Capital Territory (1.4%).

On an annual basis, household spending increased by 6.0% in June, up from 5.5% in May, marking the strongest yearly growth rate in three months.