Household consumption slightly up in April

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© CBS / Nikki van Toorn
According to figures released by Statistics Netherlands (CBS), households spent 0.3 percent more in April 2023 year on year, adjusted for price changes. Again, they spent more on services but less on goods.

These are volume figures, i.e. figures adjusted for price changes. In addition, they have been adjusted for differences in the shopping-day pattern. The CBS Consumption Radar shows that circumstances for Dutch household consumption in May were, on balance, less favourable than in April.

Domestic household consumption (volume, adjusted for shopping days)
Year MonthChange (year-on-year % change)
2019May1.8
2019June1
2019July0.5
2019August0.5
2019September1.3
2019October1.4
2019November1.2
2019December2.4
2020January1
2020February2.1
2020March-7.2
2020April-17
2020May-11.9
2020June-7.1
2020July-2.4
2020August-2
2020September-3.7
2020October-5.8
2020November-6.2
2020December-11.2
2021January-12.4
2021February-11.6
2021March-0.1
2021April12.1
2021May11.2
2021June6.9
2021July2.6
2021August3.4
2021September4.7
2021October9.1
2021November9.2
2021December4.8
2022January12
2022February15
2022March12.4
2022April11.3
2022May6.6
2022June4.9
2022July3.9
2022August2
2022September2.2
2022October1
2022November2.4
2022December9.9
2023January4.9
2023February1.7
2023March0.8
2023April0.3

Households spent more on services

In April, consumers spent 3.5 percent more on services compared to the same month last year (adjusted for price changes). These services include insurances, public transport and visits to restaurants, events or hairdressers. Spending on services accounts for over half of total domestic consumer expenditure.

Adjusted for price changes, households spent 4.6 percent less on food, beverages and tobacco. They also spent 4.1 percent less on durable goods than in April 2022. Spending on home furnishing, electrical appliances, clothing and footwear was down in particular. Spending on other goods such as natural gas was 2.1 percent down in April year on year. Although it was colder than in April 2022, (household) natural gas consumption was down.

One week ago, CBS reported that the volume of sales in retail trade in April was 4.8 percent lower than one year previously. The volume of sales in the non-food sector decreased by 6.1 percent and by 4.3 percent in the food sector. These figures have also been adjusted for the shopping-day pattern.

Domestic household consumption by category (volume, adjusted for shopping days), April 2023
 Change (year-on-year % change)
Services3.5
Other goods (e.g. gas)-2.1
Durable goods-4.1
Food, drinks and tobacco-4.6
Total0.3

Consumer climate in May less favourable

Every month, CBS publishes figures about circumstances for household consumption in the CBS Consumption Radar. Household consumption is influenced by factors such as 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 do not necessarily translate into a higher increase in consumption.

According to the CBS Consumption Radar, circumstances for Dutch household consumption in May were less favourable than in April. The year-on-year growth of the employed labour force was smaller than in the previous month and the year-on-year price decrease of owner-occupied dwellings was larger.

Sources

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