A new survey by Revolut has found that 42% of New Zealanders feel financially worse off than a year ago.
The poll, which covered over 1,000 respondents, also showed 54% are struggling with day-to-day money management. The results underline the financial stress affecting households across the country. Revolut said the data “definitely shows a challenging environment for Kiwis.”
“The cost of living is undoubtedly tightening belts across New Zealand,” said Georgia Grange, Revolut’s New Zealand head. “The data definitely shows a challenging environment for Kiwis.”
The survey showed women are more likely than men to feel worse off, with 45% of women compared with 39% of men reporting financial strain. Younger age groups were the most affected, with 71% of 25–34-year-olds and 63% of 18–24-year-olds saying they found it difficult to manage their finances.
“We believe it’s up to providers to also help guide [financial] education with their products and services. Kiwis have been left behind if we look at other countries and what their banks and financial services providers enable,” Grange said.
The results come as consumer confidence continues to fall. The Westpac-McDermott Miller Consumer Confidence Index dipped to 90.9 in the September quarter, while GDP contracted 0.9% in June. Food prices climbed 5% in the year to August, and unemployment rose to 5.2%, up from 4.7% a year earlier.
“Households are still seeing their spending power squeezed by increases in the cost of food and other essentials,” Westpac senior economist Satish Ranchhod said.
41% of New Zealanders are building emergency funds, particularly those aged 25–49. Grange noted: “Kiwis are proactively taking control of their finances … working towards security through emergency funds, making deliberate spending choices, and maintaining their dreams of travel and financial independence.”