CANBERRA, May 28 (Xinhua) -- Australian household spending fell 1.1 percent in April, reversing gains in previous months, as a sharp decline in transport costs weighed on overall consumption, official data showed on Thursday.
This followed a 1.6-percent rise in March and a 0.3-percent increase in February, said a statement from the Australian Bureau of Statistics (ABS).
A 4.7-percent drop in transport spending was the main driver of the decline in April household consumption, amid widespread impacts and responses to the Middle East conflict, said Tom Lay, ABS head of business statistics.
Air transport led the decline as households cut back on travel amid uncertainty and higher fares, while airline route cancellations, driven by higher jet fuel costs, resulted in refunds recorded as reduced spending, the ABS said.
Fuel costs remained elevated compared to pre-Middle East conflict, but eased from March levels, supported by a temporary halving of the federal fuel excise from April 1 in response to rising fuel prices, it said.
ABS experimental data showed fuel spending volumes rose 2 percent in April after a 1.5-percent fall in March.
A rise in new vehicle purchases, particularly electric vehicles, partially offset broader transport declines, signaling a shift in consumer behavior as households adjust to higher fuel prices, the ABS statement said.
Food spending fell 1.3 percent, reflecting a return to more typical purchasing patterns and continued consumer shift toward lower-cost supermarket options, "reflecting ongoing price consciousness among households," Lay said.
Annual household spending rose 4.9 percent from a year earlier, slowing from 6.2 percent annual growth in March, he added. ■
