Consumer confidence sinks following rate hike, budget

Consumers remain down in the dumps after the 2023/24 federal budget failed to meet the expectations of those under financial stress. Photo: AAP

Consumers are feeling uneasy following a surprise interest rate hike and a federal budget that left stretched households a little disappointed.

A confidence index, compiled each month by Westpac and the Melbourne Institute, has revealed a 7.9 per cent decline to 79 points in May from 85.8 in April.