Consumer confidence has fallen for the third consecutive week to 112.8 (down 1.3pt in a week since June 15/16, 2013).
According to Roy Morgan, confidence is now 0.6pts lower than a month ago (May 25/26, 2013 – 113.4) although 3.2pts higher than at the same time a year ago when it was 109.6 (June 23/24, 2012).
The fall has been driven mainly by increasing worries about Australia’s economic conditions over the next year and by less people saying now is a ‘good time to buy’ major household items.
Australians are not confident about the Australian economy with 37% (up 4%) of Australians expecting ‘bad times’ economically (the highest since July 21/22, 2012) over the next 12 months compared to 24% (down 5%) that expect ‘good times’ for the Australian economy (the lowest since August 13/14, 2011).
Now 56% (down 4%) of Australians say now is a ‘good time to buy’ major household items compared to 19% (up 3%) that say now is a ‘bad time to buy’ (the highest since November 24/25, 2012).
40% of Australians (down 1%) expect to be ‘better off’ financially over the next 12 months while only 14% (down 3%) expect their family to be ‘worse off’ financially.
Over the long-term 22% (down 3%) of Australians expect ‘bad times’ for the Australian economy over the next five years compared to 33% (down 1%) that expect Australia to have ‘good times’.
However, Australians are less concerned about their personal finances compared to this time last year with 31% (up 2%) of Australians saying they are ‘better off’ financially than this time last year and 28% (down 3%) that say they are ‘worse off’ financially.
Gary Morgan says: “Constant leadership speculation around the federal government is a clear distraction preventing the Gillard government from effectively implementing its policies – and also undermining general confidence in the Australian community.
“This week should mark the end of the leadership speculation as parliament is not due to meet again until after the Federal Election – set for September 14, 2013.”
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