With the country expecting the Reserve Bank to account a hefty rate rise this afternoon, it’s no surprise that consumer confidence is now at its lowest level since mid-August 2020.

According to this week’s ANZ-Roy Morgan Consumer Confidence rating, consumer confidence dropped 4.1 per cent.

Confidence dropped in NSW by a staggering 7.5 per cent, and in Victoria by 7.2 per cent.

Queensland and Western Australia saw more modest falls, but South Australia saw confidence rise.

“Consumer confidence dropped 4.1 per cent last week, most likely on cost-of-living concerns as inflation expectations rose to 5.7 per cent, its highest weekly reading since early April,” said David Plank, ANZ’s head of Australian economics.

“Consumers are especially pessimistic about the current economic outlook and their current financial circumstances.”