Retail spending in New Zealand decreased by 25 per cent between November and December after adjusting for seasonal impacts, according to Stats NZ. 

Stats NZ reported that while actual retail card spending increased in December by $166 million the increase was less than during previous Decembers.

“The fall in retail card spending is large for a December month, and this month’s drop is the first in nine months,” said business performance manager Ricky Ho. 

According to Stats NZ, spending declined in five of the six retail sectors, with durables sales falling the most – by $95 million, or 5.7 per cent.

Fuel and apparel fell by $26 million (4.3 per cent) and $17 million (4.7 per cent), respectively. The only category where spending increased was food and liquor, up by $39 million, or 1.5 per cent.

“The largest contribution to retail card spending came from groceries and liquor which reached $3.1 billion in December 2022,” Ho added.

Retail spending climbed by $110 million (0.6 per cent) in the last December quarter, following a 1.7 per cent growth in the September quarter.

Actual retail card expenditure in the December quarter was $22 billion, up 9 per cent year on year with the highest rise in hospitality spending, which increased by $1 billion, or 37 per cent.