New Data Reveals Consumer Spending Still Slow, Despite Inflation Drop

Spending on services did rise 0.4 percent in August, led by increases in air travel, hotel accommodation, and dining out.

People shop for fresh produce at the Queen Victoria Market in Melbourne, Australia on July 4, 2023. William West/AFP via Getty Images

Despite a drop in headline inflation and tax cut reforms, Australian household spending is yet to see a surge.

Figures from the Australian Bureau of Statistics (ABS) revealed that household expenditure remained flat in August. The data, released on Oct. 4, showed no change in household spending for the month, following consecutive declines of 0.5 percent in July, and 0.1 percent in June.