Household spending up 6.1pc, income up 11.5pc in 3 years

The average weekly spending on food lifted $15 or 9.1 per cent to $178, in three years, said Statistics NZ. Photo / Martin Sykes

Average weekly household spending rose by $58 or 6.1 per cent to $1010 between 2006/07 and 2009/10, Statistics New Zealand (SNZ) says.

Statistics New Zealand's three-yearly household economic survey also showed that average annual household income from regular sources rose 11.5 per cent from $68,710 to $76,584 in the three year period. But for just the last year of the survey income actually fell, from $78,019.

The increase over the full three years was driven by rises in wages and salaries, other government benefits, and New Zealand Superannuation and war pensions, SNZ said today.

The increase in spending was due largely to $40 or 18.8 per cent more being spent on housing and household utilities, taking it to $253, while spending on food lifted $15 or 9.1 per cent to $178.

Rent rose $22 to $88, while and household energy was up $7 to $43, with electricity up $6 to $37. Restaurant meals and ready-to-eat food was up $5 to $43, meat, poultry, and fish lifted $3 to $27, while non-alcoholic beverages gained $2 to $10.

Furniture and furnishings fell $4 to $12, and major household appliances were down $2 to $7.

In 2009/10, the housing and household utilities group was the largest component of household spending, making up a quarter of total household spending, up from 22 per cent in 2006/07.

The next largest components were food at 18 per cent, and transport at 13 per cent, said Statistics NZ.

Average weekly mortgage payments, for those households making them, fell from $376 to $355 in the last year of the survey.

That continued a decline from $387 in 2007/08, which was mainly due to a fall in mortgage interest rates, it said.

For those making mortgage payments in 2009/10, 20 per cent made weekly payments over $500, down from 24 per cent in 2008/09 and 27 per cent in 2007/08, but up from 17 per cent in 2006/07.

For households who paid rent, average weekly spending on rent was $242 in 2009/10, slipping from $244 in 2008/09 but up from $212 in 2006/07.

For those making rent payments, 33 per cent made weekly payments over $300, a slight change from 34 per cent in 2008/09 and up from 27 per cent in 2007/08 and 22 per cent in 2006/07.

- NZPA