Con­fi­dence falls as fam­i­lies strug­gle

Weekend Gold Coast Bulletin - - BUSINESS - KA­RINA BARRYMORE

HOUSE­HOLD fi­nan­cial con­fi­dence con­tin­ues to fall as fam­i­lies cope with in­creased mort­gage stress, ris­ing rents, low wages and house­hold bud­gets squeezed even fur­ther.

Ac­cord­ing to the lat­est sur­vey of house­hold fi­nan­cial con­fi­dence by in­de­pen­dent re­search com­pany Dig­i­tal Fi­nan­cial An­a­lyt­ics, con­fi­dence lev­els fell again in April, fol­low­ing con­sec­u­tive falls ev­ery month since March last year.

The lat­est re­sults recorded a fall of just over half a per­cent­age point to 91.7 on the in­dex for April 2018.

This com­pares with a neutral con­fi­dence level of 100.

Dig­i­tal An­a­lyt­ics di­rec­tor Martin North said the largest falls were in Vic­to­ria, NSW and Queens­land.

In con­trast, small rises were recorded in South Aus­tralia and Tas­ma­nia, while Western Aus­tralia re­mained steady.

Vic­to­ria’s con­fi­dence in­dex was now 98.1, lower than NSW’s at 99, but still above the other states which all have an in­dex level in the low 90s.

The big­gest causes of concern for house­holds was the ris­ing cost of liv­ing with 79 per cent say­ing their house­hold costs had in­creased, up 1.4 per cent com­pared with a month ago. Ris­ing costs cited in­cluded elec­tric­ity, school fees, health­care and fuel.

Debt lev­els were also keep­ing con­fi­dence low with 44 per cent say­ing they are worse off com­pared with a year ago.

The sur­vey also found more peo­ple were putting house­hold costs on credit cards to man­age their fi­nances.

Younger house­holds were also the least con­fi­dent, im­pacted by low job avail­abil­ity, un­der­em­ploy­ment, flat wages and the be­lief they will never be able to buy a home.

Newspapers in English

Newspapers from Australia

© PressReader. All rights reserved.