Household spending fell 0.5 per cent in June compared to the prior month, according to new data from the Australian Bureau of Statistics (ABS).
This follows consecutive rises of 1.0 per cent in May and 0.8 per cent in April.
ABS head of business statistics Robert Ewing said this is the first month where the spending indicator includes seasonally adjusted data for selected categories.
“This new data shows households spent less on services in June, but more on goods compared to May,” he said.
Lower spending on recreational and cultural services, hotel accommodation, and dining out contributed to the 1.8 per cent drop in services spending, which was partially offset by a 0.5 per cent rise in spending on goods, as households took advantage of end-of-financial-year sales.
Despite the month-on-month fall, household spending is up 5.3 per cent in through-the-year and calendar-adjusted terms. This is driven by miscellaneous goods and services (up 10.8 per cent) and health (up 7.8 per cent), while clothing and footwear made a resurgence with a 3.1 per cent lift through-the-year to June.
The lift in clothing and footwear for June follows a 1.9 per cent fall in May and a 4.3 per cent fall in April.
However, in original, volume terms in through-the-year spending to the June quarter, clothing and footwear spending is down 3.7 per cent - the second-largest fall behind alcohol and tobacco spending, which fell 12.8 per cent.