Us UK people call peanut butter "peanut butter" - it's what's written on the jar.
Maybe it’s an old Australian thing then :)
Nope, it's peanut butter here in Aus too. Maybe it's your mum's thing :)
in WA it was called peanut paste back in the 90s and prior. Uncommon to hear it now though
It definitely isn't a term for 'spread'. It specifically refers to meat or fish paste sandwiches. The paste comes in little tins. Meat is most common, but when I was a kid I loved crab paste.