Household consumption over 2 percent up in September

The CBS Consumption Radar shows that circumstances for Dutch household consumption in November are, on balance, less favourable than in September.

Consumption figures are adjusted for price changes and differences in the shopping-day pattern.

Dutch households mainly spend more on food, beverages and tobacco

In September, consumers spent nearly 4 percent more on food, beverages and tobacco. Consumer spending on durable goods was up by over 1 percent. Spending on household appliances was up in particular. Consumer spending on the category ‘other goods’, such as petrol, was almost 1 percent up.

Last week, CBS reported that retail turnover was 1.7 percent up in September year-on-year. The volume of sales increased by 1.9 percent. This figure was also adjusted for the shopping-day pattern.

Lastly, consumer spending on services - accounting for over half of total domestic consumer expenditure - rose by over 2 percent in September 2018. These services include house rent, public transport, visits to restaurants or hairdressers and insurance premiums.

Consumer climate in November less favourable than in September

CBS publishes figures about circumstances for household consumption on a monthly basis in the CBS Consumption Radar. Household consumption is affected by consumers’ expectations, their personal financial situation and developments on the labour market. Although the Radar indicators show a strong correlation with household consumption, improved circumstances are not necessarily translated into increased growth.

According to the The CBS Consumption Radar, circumstances for Dutch household consumption in November are less favourable than in September. The year-on-year increase in share prices turned into a decrease.