ANZ-Roy Morgan Consumer Confidence dropped 3.1 points this week to 64.1 – the lowest reading this month and the fourth lowest in history.
Consumer confidence is 20.3 points lower than a year ago, and now 5.1 points below the 2026 weekly average of 72.3.
ANZ economist, Sophia Angala, said the slip came as the Reserve Bank of Australia lifted the cash rate to 4.35 per cent.
She added that all subindices across the index, including when to buy a major household item and what people think of the economy this year, declined. This was led by a sharp fall in household confidence in personal finances.
“Weekly inflation expectations fell to their lowest level since early March, likely reflecting the fall in petrol prices in recent weeks,” Angala said.
“While household spending data for March suggests higher fuel prices in the month had not yet dampened consumer spending, consumer confidence at a record low points to softer consumer demand ahead.
“ANZ Research expects activity data are likely to be sufficiently soft to keep the RBA cash rate on an extended hold at 4.35 per cent over the near term.”
Across the subindices, just 14 per per cent (down 2ppts) of Australians say their families are ‘better off’ financially than this time last year compared to a majority of 56 per cent (up 2ppts) that say their families are ‘worse off’.
Net views on personal finances over the next year also declined this week with 19 per cent (down 1ppt) of respondents expecting their family will be ‘better off’ financially this time next year, while 45 per cent (up 2ppts) expect to be ‘worse off’.
Over the next year, just 4 per cent of Australians are expecting good times for the economy (down 1ppt), while 48 per cent (unchanged) expect ‘bad times’.
In the longer term, 6 per cent of Australians expect good times for the economy compared to over a third (34 per cent - up 3ppts) expecting ‘bad times’.
Net buying intentions were down this week, too, with just 13 per cent (down 2ppts) of respondents saying now is a ‘good time to buy’ major household items compared to 53 per cent (up 2ppts) that say now is a ‘bad time to buy major household items’.
An analysis by state shows consumer confidence dropped in New South Wales, Victoria, Queensland, and South Australia, but increased slightly in Western Australia