ABS monthly data released this week shows household spending rose 4.8% year-on-year in February 2026, and rose 0.3% over January 2026.
The latest ABS household spending data released this week shows retail spending remained resilient in February, but momentum is clearly easing. Performance was strongest in cafes and takeaway food. The modest growth in most discretionary goods spending points toward an increasingly selective consumer. The softening trend in spending is especially evident in New South Wales, whilst the Northern Territory and Western Australia showed the strongest performance.
The softening trend in spending is especially evident in New South Wales, whilst the Northern Territory and Western Australia showed the strongest performance.
Importantly, these figures pre-date the recent escalation in the Middle East and the associated spike in fuel and energy prices and rising interest rates from the March cash rate increase. More recent indicators in March suggest conditions are deteriorating. Consumer sentiment, measured in the latest ANZ–Roy Morgan data, is now sitting near record lows, reflecting sustained pressure on household budgets and weighing on discretionary spending. At the same time, labour market indicators show a worsening employment outlook. Job ads fell in March, reversing recent gains, and while vacancies remain elevated, employment conditions are becoming more mixed. The Reserve Bank has also noted that prolonged global uncertainty and higher living costs could reduce employment over time. Together, these trends point to a more cautious consumer and a softening economic outlook.
Full breakdown below, with the ABS media release available here.
ABS Data
February 25 against February 26 (Seasonally Adjusted)
By Industry Group
| Feb-25 | Feb-26 | Variance | ||
| Billion | Billion | Amt | % | |
| Food retailing | 14.73 | 15.19 | 0.46 | 3.11% |
| Household goods retailing | 6.08 | 6.28 | 0.19 | 3.16% |
| Clothing, footware and personal accessary retailing | 2.84 | 2.98 | 0.14 | 4.93% |
| Department stores and large online retailers | 1.58 | 1.64 | 0.06 | 3.70% |
| Cafes restaurants and takeaway food services | 5.36 | 5.74 | 0.38 | 7.09% |
| Other retailing | 6.40 | 6.96 | 0.55 | 8.65% |
| TOTAL | 37.00 | 38.78 | 1.78 | 4.8% |
By State
| State | Feb-25 | Feb-26 | Variance | |
| Billion | Billion | Amt | % | |
| NSW | 11.20 | 11.60 | 0.40 | 3.56% |
| VIC | 9.16 | 9.57 | 0.41 | 4.48% |
| QLD | 8.14 | 8.61 | 0.47 | 5.78% |
| SA | 2.39 | 2.52 | 0.13 | 5.49% |
| WA | 4.39 | 4.69 | 0.29 | 6.63% |
| TAS | 0.77 | 0.81 | 0.04 | 5.22% |
| NT | 0.33 | 0.35 | 0.03 | 7.73% |
| ACT | 0.619 | 0.636 | 0.02 | 2.66% |
| TOTAL | 37.00 | 38.78 | 1.78 | 4.8% |