Visa consumer spending index shows more increase
In a development that will come as a surprise to exactly nobody, the latest report in Visa's Irish Consumer Spending Index has revealed yet another increase - the highest since July 2016.
16 February 2018 | 0
Visa has published its latest Irish Consumer Spending Index, which reveals that Irish consumer spending saw its sharpest increase for a year-and-a-half during January.
The index signalled a +5.3% year-on-year expansion in household expenditure, which is an increase from the +4.9% increase seen in December. Moreover, the rate of growth was the fastest for a year-and-a-half. The rise was also stronger than the average since the series began in September 2014.
The report states that the growth in Irish consumer spending was led by Face-to-Face expenditure. January saw a +7.3% year-on-year expansion in high street spending, the highest increase since February 2016.
The resilience of Irish consumer spending is in stark contrast to the situation in the UK, where consumer spending fell for the fifth month in a row on an annual basis.
Meanwhile, eCommerce spending here rose again in January, by 2.1% year-on-year. This growth is weak relative to the average – likely a sign of a post-Christmas slowdown in online shopping.
All eight monitored sectors in Ireland saw expenditure increase during January, the second time in three months in which this has been the case. The sharpest expansion was recorded in the Household Goods category, where spending was up +13.7% year-on-year. This was the quickest rise in 20 months. The category was closely followed by Recreation & Culture and Hotels, Restaurants & Bars, with expenditure up on an annual basis by +8.3% and +7.0% respectively.
“The continuing strong growth in Irish consumer spending is reflective of the continuing fall in unemployment and buoyant consumer confidence in the Irish economy,” said Philip Konopik, Visa Country Manager for Ireland. “Shoppers have demonstrated real resilience by continuing to increase their spending into the New Year.
“The ongoing revival of the Irish high street was a particular highlight,” Konopik said, “with the data recording the fifth consecutive month of year-on-year Face-to-Face growth – a significant contribution to the overall rise in Irish spending in January.”