Australian Household Spending Dropped by 0.4% in December 2025

Australian Bureau of Statistics (ABS) has revealed that household spending in the country dropped by 0.4 per cent during the last month of 2025.

However, household spending over the year has gone up by five per cent compared to December 2024.

Household Spending Drops by 0.4%

The 0.4 per cent drop meant the household spending went down to $78.86 billion, per Investing.com.

According to the ABS, the drop in household spending in December followed a previous two-month increase.

In October of last year, household spending increased by 1.4 per cent. It was followed by another one per cent increase in November.

“The fall in December indicates that households brought forward purchases during sales events in October and November,” said ABS Head of Business Statistics Tom Lay.

“These falls were across a range of categories including discretionary items such as electronics, clothing and furniture, as well as essential items like healthcare,” he added.

Which States and Territories Saw the Largest Drop?

Data from ABS show that Victoria saw the largest drop in household spending at -1.0 per cent.

This is followed by New South Wales with -0.6 per cent.

On the other hand, Northern Territory had the biggest rise at +2.9 per cent.