The Federal budget boost to consumer sentiment continues to fade just a month after its delivery, according to two confidence indices released on Wednesday.

Both the Westpac-Melbourne Institute monthly survey and ANZ-Roy Morgan weekly series suggest the lift to spirits by May's budget and the Reserve Bank of Australia's quarter-point cut to the cash rate has been short-lived, and consumer spending will remain subdued for the foreseeable future.

The bank's headline consumer confidence index dropped 1.2 per cent, to 112.1 points, in the week ended on June 7, after remaining steady at 113.5 points for the two previous weeks.. Credit:Daniel Munoz

"It now appears that last month's surge of optimism was a brief relief rally following the RBA's May rate cut and a budget that was less damaging than many feared," said Westpac senior economist Matthew Hassan.

"With these factors now behind us, sentiment has reverted back to a level more reflective of broader concerns about the outlook for the Australian economy," he said.