Aussie households increased their spending on non-essential products in May after a number of subdued months.
The latest Australian Bureau of Statistics (ABS) data showed household spending rose 0.9 percent in May.
ABS Head of Business Statistics Robert Ewing said this followed a flat result in April and a 0.1 percent fall in March.
“The rise in May was driven by spending on discretionary goods and services,” Mr Ewing said.
“Discretionary spending rose 1.1 percent, as households spent more on clothing and footwear, new vehicles, and dining out.”
He said non-discretionary spending was up 0.5 percent, rising for a fifth consecutive month.
Mr Ewing said seven of the nine spending categories rose in May, led by Clothing and footwear (+3.7 percent), Transport (+1.7 percent), and Miscellaneous goods and services (+1.3 percent).
“Alcoholic beverages and tobacco (-1.4 percent) and Food (-0.1 percent) were the only categories that fell.”
He said household spending was 4.2 percent higher than the same time last year.