While consumers were hoping for rate cuts in November, we saw financial priorities shift to debt repayment and day-to-day expenses again this month. The latest data from Consumer Pulse reveals another large shift in Australian households’ top financial priority.
Agile Market Intelligence’s Consumer Pulse survey asks around 1,500 Australian consumers every month about their top financial priority. In this story, we take a look at how top financial priorities vary based on debt status, including debt-free households, mortgage holders, and consumer debt holders.
Key stats you need to know
- An uptick in prioritising debt repayment among consumer debt holders and mortgage holders was observed, amidst speculations of November rate cuts, a pattern also observed back in July ahead of the RBA rate cut in August.
- Some debt-free households shift away from saving to prioritise day-to-day expenses, signaling an increase in cost-of-living pressures.
- Consumer debt holders dramatically shift away from savings (down 5% from last month), with the difference split into prioritising debt repayment and day-to-day expenses.
Australian households re-prioritise day-to-day expenses
- 26% of all households are prioritising day-to-day expenses this month (up 2%), the first time this segment has increased since May.
- 30% of consumers are prioritising debt repayment, the highest recorded since March amidst changing speculation around a rate cut in November.
- 44% of Australians are prioritising saving, down 5% from last month.
Saving has taken a backseat to daily expenses and debt repayment this month, despite talk of rate cuts in November. Consumers are feeling the pinch as energy and electricity prices are on the rise. The 3% uptick in debt repayment suggests consumers are tackling their debt loads now that talks of rate cuts are top-of-mind all month, until it was ruled out this week. Meanwhile, the return to prioritising day-to-day expenses signals renewed cost-of-living pressures and rising energy and electricity prices.
Debt-free households feel the pinch too
- 37% of all households are prioritising day-to-day expenses this month, up 3% from September.
- Debt-free consumers who are prioritising debt repayment or savings have experienced a 1-2% drop in either segment.
Australians appear to be feeling cost-of-living pressures again, as even households without a mortgage or consumer debt (“debt-free”) are changing financial priorities. The shift toward daily living costs and away from savings among debt-free households underscores how broadly energy and other household costs are being felt across the population.
Consumer debt holders drastically deprioritise savings this month
- Consumer debt holders experienced the largest shifts in financial priority this month, with an 8% drop in prioritising saving.
- 22% of consumer debt holders now prioritise day-to-day expenses, up 3% from September.
- Debt repayment is now the top priority for consumer debt holders at 43%, toppling down savings at just 34%.
Consumer debt holders have focused their efforts this month into debt repayment. We observed a similar redirection in July, in anticipation of the August RBA rate cut. Recent talks of potential further rate cuts might be driving this behaviour, being top of mind for consumers, or possibly as a means of freeing up cashflow. However, the 3% increase in those prioritising day-to-day expenses also suggests cost-of-living pressures remain a reality, limiting the capacity for aggressive debt paydown.
69% of mortgage holders prioritise debt repayment, highest percentage this year
- 69% of mortgage holders report debt repayment as their top financial priority in October, up 2% from last month
- Households with a mortgage who are prioritising savings and day-to-day expenses have decreased 1-2% for each segment.
Mortgage holders prioritising debt repayment, which hovered steadily around 65% since March, has seen an increase the past 2 months. The uptick mirrors the pattern observed among consumer debt holders and coincides with speculation about potential rate cuts. (Consumer insights were obtained prior to news that a rate cut has been ruled out). Mortgage holders have the largest financial obligation among the segments based on debt status. And unlike debt-free households or consumer debt holders, most households sustain their focus on debt repayment, with those shifting priorities being kept at a minimum.
About the research
This article is based on 11,416 responses from Agile Market Intelligence’s Consumer Pulse survey, conducted across March to October 2025. Australians holding a range of financial products including mortgages, loans, credit cards and investment accounts were asked about their top financial priority for the current month. Results were weighted to reflect national population profiles by age, gender, and state.
The Consumer Pulse is a monthly tracker of over 1,500 Australian consumers developed by Agile Market Intelligence to monitor consumer sentiment, financial stress, and behavioural shifts across key household segments. The survey provides a real-time view of financial wellbeing in Australia, segmented by debt status, home ownership, and other demographics.
