Australian household spending was up 0.1% in August, suggesting signs of cutting back, according to the CommBank Household Spending Insights released on Tuesday.
Data indicates a broad-based slowdown in spending compared to growth rates observed in 2025 and early this year.
Monthly figures showed increases in five of twelve categories, with notable gains in transport, insurance, and health, while declines were observed in education, motor vehicles, food and beverage goods, and household goods.
"Household spending is tracking softer at this time of year compared [with] previous years," CommBank Head of Australian Economics Belinda Allen said. However, some factors driving spending remain unavoidable as inflation remains high.
CommBank anticipates the official cash rate will be lifted by 25 basis points to 4.6% at its September meeting, an outcome that is likely to further impact households, per the report.