Consumer confidence has lifted – helped by continued low interest rates and rising housing prices.

The ANZ/Roy Morgan weekly consumer confidence index rose 0.6 per cent in the first week of September.

The index has stabilised around its long run average over the past four weeks after a sharp decline around the time of the federal budget in May.

ANZ chief economist Warren Hogan said rising confidence that households have in their family finances is showing continued momentum.

“The recent stabilisation in confidence is a positive sign and ANZ’s base case remains that consumer spending will grow moderately this year, before improving next year,” he said.

“The labour market will be important for the outlook, so it is encouraging that the August ANZ job ads report yesterday showed that labour demand is gradually strengthening.”