CreditorWatch chief economist Ivan Colhoun said businesses were facing the same cost pressures as consumers, including higher electricity, insurance and rental costs.
“Together with some greater caution in discretionary spending and softness in interest-rate-sensitive sectors of the economy, this unsurprisingly has led to higher voluntary business closures and some rise in insolvencies,” he said.
Loading
While businesses are struggling, there are signs the stage 3 tax cuts, easing inflation and real wage rises are starting to lift consumer sentiment. The ANZ-Roy Morgan weekly measure of consumer confidence rose again over the past seven days to be at its highest level since early 2023.
Consumers are more upbeat about their finances and…
