Half of all Australians cut back on dining out and trips to the cinema over the last quarter to counter cost-of-living pressures, but more people are now opting to bank any savings.
The latest NAB Consumer Sentiment report found more than half (52 percent) of people surveyed dined out less in the last three months of 2024, while 45 percent watched fewer movies on the big screen and attended less concerts.
NAB Executive Paul Carter said almost half (48 percent) said they skipped treats or an extra coffee.
“There wouldn’t be many Australians who haven’t changed their spending behaviours because of higher living costs,” Mr Carter said.
He said Australians were currently saving around $337 a month on average by questioning their every-day spending.
“If these habits continued into 2025, savings buffers could be boosted to over $4000 annually.
“2024 was about setting the right financial foundations, and now people are more confident in their saving habits.
“Even though inflation looks to be heading in the right direction, people are still considering if they can pause, pinch or park upcoming spends.”
Mr Carter said nearly half of those that made cutbacks in the past three months had deposited their extra savings into savings or offset accounts, up from 43 percent in the previous quarter.
He said younger Australians were leading this trend, with six out of 10 putting their additional funds into these accounts.
“So, while the cost of living remains a challenge, they’re prioritising building up their savings buffers to get ahead, or shaving interest off their mortgage.”
