NZ’s household savings fall in Q2 ’24

New Zealand households’ savings dropped to -$479 million in the June 2024 quarter due to higher spending and lower disposable income, according to data released by Stats NZ on Thursday.

Household spending rose by 1.0 per cent to $60 billion during the quarter, driven primarily by spending on services and non-durable goods like groceries.

While spending on durable goods like motor vehicles decreased, the overall increase in spending outpaced the decline in net disposable income.

Net disposable income for households fell by 0.9 per cent to $59 billion in the June 2024 quarter. Total household income also decreased by 0.2 per cent, marking the first decline since the start of the reported series in 2016.

Household net disposable income represents the amount of money households have available for saving, spending, or investing after accounting for all income and income payable.

Attribution: Stats NZ statement

Subediting: M. S. Salama