Household consumption fell 0.9% in June compared with the year-earlier figure, the central statistics agency CBS said on Monday.
Spending on food and entertainment fell 3.7% while that on products such as cars dropped by 3.4%.
Consumers did, however, spend more on services which rose 1.3%.
The figures coincide with a year in which wages rose 1% and inflation 2.6%, says the CBS.
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