Australian retail turnover rose 4.0 per cent compared to January 2015 with household goods sales behind the overall lift, according to the latest figures released by the Australian Bureau of Statistics.

Total retail spending was $24.83 billion in January 2016, up from $24.75 billion in December 2015, representing a 0.3 per cent rise.

“The first month of 2016 experienced a healthy level of growth, well in line with ARA’s expectations,” said Australian Retailers Association (ARA) executive director, Russell Zimmerman.

“While this is a great start to the new year, what we really would like to see is sustained, incremental rises in retail sales,” he added.

Retail spending rose across all Australian states with the ACT posting an increase of 7.7 per cent, a level not reached since June 2015. NSW recorded growth of 5.2 per cent, followed by Victoria with five per cent.

“Victoria has been the forerunner when it comes to retail sales growth for the past few months, and to have the ACT demonstrate such a considerable increase is wonderful news, given it follows on from handful of slower months,” said Zimmerman.

Household goods and ‘other’ retailing recorded the highest growth for January with 5.8 percent and 4.8 per cent. Clothing, footwear, and personal accessories saw an increase of 4.7 per cent.

Department stores had the smallest increase, at 1 per cent, coming off the back of 5-percent year-on-year growth in December.

“Many categories are growing at a faster annual pace than the same time last year which is a positive indicator that the sector is on a path to build on 2015’s performance,”said Retail Council CEO, Anna McPhee.

“With the Federal Budget to be handed down in May, the retail sector calls on the government to demonstrate that it is continuing on the path to fiscal sustainability and clearly articulate a plan to deliver structural budget reform.”

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