16.12.202521:24:01UTC+00New Zealand Consumer Sentiment Improves in Q4

The Westpac McDermott Miller Consumer Confidence Index in New Zealand saw an uptick to 96.5 in the fourth quarter of 2025, rising from 90.9 in the previous quarter. This figure represents the highest level recorded this year, though it continues to trail long-term averages. The upswing can be attributed to easing borrowing costs and seasonal positivity. Many borrowers are transitioning to lower fixed mortgage rates, offering households some respite as the year concludes. Westpac's insights indicate that households have grown more hopeful about the economy's path, with an increased propensity to spend, bolstered by reduced interest expenses and a more positive outlook. Although job creation remains modest, the survey highlighted modest improvements in the labor market. Regional outcomes were varied yet generally positive, with Auckland emerging as one of the more optimistic regions. Together with firmer commodity prices, these elements suggest that consumer confidence is on the rise as we move into 2026, despite not yet reaching full recovery.