One item Aussies ditching in cost crisis

Australians battling the price of dwelling disaster are reducing again on non-essentials – particularly furnishings and garments.

The Australian Bureau of Statistics (ABS) month-to-month family spending indicator report, launched Tuesday, exhibits total family spending was up 3.3 per cent in May, in comparison with the identical time final 12 months.

But it’s additionally the slowest progress price since July 2021, and discretionary spending was down 0.6 per cent.

ABS head of business indicators Robert Ewing says it’s in response to rising price of dwelling pressures.

“Driving the fall in discretionary spending over the year was 4.8 per cent less spending on furnishings and household equipment, and 3.4 per cent less on clothing and footwear,” Mr Ewing mentioned.

The total family spending improve was pushed by companies; spending on lodges, cafes, and eating places was up 7.8 per cent, and transport spending rose 7.7 per cent, accounting for an total improve of seven.2 per cent within the companies class.

Goods spending was down 0.9 per cent, however money spent on meals was the one improve (up 5.8 per cent) due to May’s CPI report exhibiting the price of meals rose 7.9 per cent in the identical interval.

Western Australia recorded the most important improve in spending (4.7 per cent) whereas the Northern Territory had the smallest rise in through-the-year spending — up 0.8 per cent, however dropping from 1.6 per cent in April.