Sydney, Australia – Household utility spending increased 4.8% to a daily average spend of $7.04 in May, according to the latest Beforepay Cost of Living Index. The rise comes ahead of July’s scheduled electricity price hikes and follows a sharp drop in April. Overall spending month-on-month remained broadly stable, with the average daily spend falling just 0.4% to $61.37 in May, suggesting households may be recalibrating after the 4.7% decline seen in April—the steepest monthly fall this year. Year-on-year, the Index rose 1.1% from $60.69 compared to May 2024.
Aside from utilities, fitness and health recorded the largest monthly increase in May, up 5.9% month-on-month to a daily average spend of $3.24, potentially reflecting seasonal activity as we enter the cooler months. Durable shopping and general shopping also edged higher, both up 0.4% from April.
The Beforepay Cost of Living Index for May 2025 is $61.37.
By contrast, spending in other essential and discretionary categories declined month-on-month. From food and drink (-2.5%) and entertainment (-2.3%) to groceries (-2.7%) and petrol and auto (-0.8%), consumers appeared to exercise continued caution across day-to-day expenses.
The largest annual gains came from fitness and health (13.7%), entertainment and leisure (9.8%), and food and drink (5.8%). Spending on groceries and petrol declined 6.5% and 3.1% respectively.
Beforepay CEO Jamie Twiss said the figures reflect how seasonal and cost-related factors are shaping spending behaviour.
“Utility spending lifted in May after falling sharply in April. As winter begins and energy prices move higher, it’s no surprise to see these costs becoming more prominent. The broader picture is one of caution—a reminder that even modest changes in essential costs can tip the balance. Staying on top of these shifts helps Australians stay in control.”
The Beforepay Cost of Living Index is drawn from real-time transaction data from over 450,000 users and tracks average daily spending across key household expense categories.
For more information contact mediaenquiries@beforepay.com.au.
Utility spending climbs 4.8% as energy price hikes approach.
About Beforepay Cost of Living Index
The Beforepay Cost of Living Index shows the average daily spend of Beforepay registered users across multiple household expense categories. As of March 2024, the average annual individual Beforepay customer gross income was $65,783 (counting only the main source of income) with a broadly representative geographic and gender breakdown. The data may vary depending on the main bank account linked with Beforepay. To the maximum extent permitted by law, Beforepay and its related bodies corporate, make no representation or warranty, express or implied, as to the accuracy, completeness, timeliness or reliability of the contents of this article and do not accept any liability for any loss whatsoever arising from the use of this article or its contents or otherwise arising in connection with it.
For more information about the Cost of Living Index visit the Beforepay website: https://blog.beforepay.com.au/tag/cost-of-living-index
About Beforepay
Beforepay Group is an ethical-lending fintech founded in 2019 to create safe and affordable lending products.
Beforepay Group operates two business lines: Carrington Labs, which builds and deploys AI-powered credit risk management solutions, and Beforepay, the Company’s direct-to-consumer business.
Beforepay's flagship pay advance product is a safe and affordable way for customers to access a portion of their pay, on demand, for a single fixed fee to help them through short-term cash-flow challenges.
The Beforepay app also includes free budgeting tools and spending insights.
For more information visit: www.beforepay.com.au
