Household spending was up 4.8% in August compared to the same month in 2022, with spending on transport making the largest contribution to the increase, the latest ABS figures showed.
“Transport spending rose 17.1% over the year, which is higher than the 10.9% growth rate in the 12 months to July,” said Robert Ewing (pictured above), ABS head of business statistics. “Higher petrol prices, as reported in the August Monthly Consumer Price Index Indicator, as well as spending on holiday travel and public transport contributed to the rise in transport spending.”
The overall rise in household spending compared to August last year was also driven by health (+8%), hotels, cafes, and restaurants (+6.9%), and food (+4.4%).
Spending on non-discretionary goods and services lifted 9.1%, while discretionary spending was flat.
Across all states and territories, household spending increased in August compared to the same period the prior year, with Western Australia recording the largest rise in spending at +9.9%, led by transport (+22.5%) and health (+15.4%). This was followed by Australian Capital Territory (+8.2%) and South Australia (+6.6%).
Spending growth rates rose in all states and territories month-on-month, except in Tasmania and the Australian Capital Territory. The Northern Territory experienced the largest lift in its growth rate, up from +0.4% in July to +4.8% in August, ABS reported.
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