Consumer Spending Drops
Household spending on goods and services declined 2.4 percent in June this year from the same period last year, according to the latest CBS - Statistics Netherlands report.
The reduction was fairly bigger compared to May at 1.9 percent. Use of natural gas was higher in May than a year ago as a result of cold weather.
Consumer spending has fallen constantly for a couple of years, especially on durable goods. In June, households spent 9.9 percent fewer on durable things than a year ago. Car sales fell noticeably. Likewise, spending on shoes, home furnishing, household items and appliances dropped. Latest cars are more costly since the change in tax legislation in July 1, 2012.
Food, drinks, and tobacco expenditure declined by 0.8 percent while spending on services was down by 0.3 percent.