Bank of Ireland card data in July showed that a majority of Irish consumers cut spending over the past month as they continue to grapple with rising costs.
However, teenagers took advantage of the summer holidays and spending on the younger generation increased.
According to the report, teenagers spent 17 percent more in July than in June, continuing a trend that began last month when spending also rose by almost a fifth.
Jilly Clarkin, Head of Customer Journeys and SME Markets, said the remarkable surge “perhaps shows a less cautious stance than the rest of us.”
This growing concern was reflected in retail spending, which fell 3 percent last month. Consumers cut back on clothing purchases, with sales down 10 percent. Grocery sales also fell 1 percent in July.
Gasoline spending rose 5% in July as fuel prices stabilized towards the end of the month.
However, consumers were eager to be on the go in July as social spending rose 2 percent.
The warm weather also pushed up spending in pubs and restaurants by 4 and 3 per cent respectively.
Spending on bakeries also rose 15 percent during the month.
Overseas spending rose in European hotspots like Portugal and Italy. However, it was Croatia that saw the largest increase in spending by Irish account holders, up 28 percent in July.
According to the Bank of Ireland, total card spending fell 1 percent in July compared to June.
“The sun was out in July and we shopped less and socialized more,” Ms Clarkin said.
“However, the picture for spending over the past month has been mixed, with some sectors doing well and others flat or slightly declining.”
Cuts in spending were also seen across the country and were not concentrated in a small number of counties.
Limerick spending fell 3 per cent while Cork spending fell 2 per cent last month.
“This spending restraint was not just in a small number of counties, it was nationwide — and while the overall decline was small, it will be interesting to see if a trend develops from this in the coming months,” she added.
https://www.independent.ie/business/irish/retail-spending-slows-while-teenagers-splash-the-cash-according-to-latest-bank-of-ireland-card-data-41908794.html Retail spending is slowing as teenagers spend the money, according to the latest Bank of Ireland card data