Household spending (+0.0%) was unchanged in the September quarter, largely impacted by the treatment of government policies including electricity rebates and expansion of the Child Care Subsidy scheme, which saw increased government consumption on behalf of households.
Though the year, household consumption (+0.4%) slowed to its lowest rate since the COVID-19 impacted March 2021 quarter. The slow down in demand reflected the ongoing effects of higher mortgage interest rates and sustained cost of living pressures on household budgets.
Household spending on electricity, gas and other fuel fell 16.9%, partly due to underlying weakness in usage as a result of a warmer than usual end to winter. The state and federal government rebates also saw a reduction in household spending on electricity.
Purchase of vehicles rose 13.0%, as prolonged demand for motor vehicles was met with improved supply. Delivery wait times for cars continued to ease towards pre-pandemic levels.
Large scale events including the 2023 FIFA Women’s World Cup saw increased spending on hotels, cafes and restaurants (+0.9%) and transport services (+3.9%).