Consumption almost unchanged in June

In June 2005 households consumed about the same as the year before. The volume of domestic consumption was up by 0.1 percent on June 2004. The figures are corrected for price changes and differences in shopping day patterns.

In June 2005 the expenditure on durable goods was 2,3 percent down on June 2004. Households spent less on new cars and home furnishings. The consumption of food, beverages and tobacco and of services was 0,6 percent higher than the June 2004

Before June this year there were fifth months in a row in which the volume of consumption was down on the previous year. This was mainly because the expenditure on durable goods lagged far behind. Expenditure on durable goods corrected for price changes and differences in shopping day patterns has been below the level of the previous year for eleven months in a row.

The main reasons why consumers are tight with their money is their lack of confidence and limited means. According to figures on the National Accounts real spendable household income fell by 1.4 percent in 2004. In 2003 and 2002 real spendable household income fell as well.

Domestic household consumption (volume)