Consumer sentiment falls amid job losses and higher prices

• Published date: 25 April 2024
• Author: Eoin Burke-Kennedy
• Publication title: Irish Times: Web Edition Articles (Dublin, Ireland)

The latest Credit Union consumer sentiment index fell to 67.8 in April, down from 69.5 the previous month. The deterioration here was also more pronounced than in other countries

"After a very difficult couple of years, a clear sense that conditions had stopped getting worse and worse prompted a significant improvement in Irish consumer confidence late last year but the modest slippage in sentiment in recent months suggests things are not getting better as fast or as forcefully as many consumers had expected," the report's author Austin Hughes said.

House price inflation accelerates to more than 6%

"An easing in inflation and a still solid Irish economy mean consumers are not nearly as nervous as they were either six or 12 months ago. Importantly, while there is ongoing progress in these areas, the survey signals that recent changes in consumer circumstances are clearly insufficient to suggest a clear improvement in living standards is under way," he said.

The latest survey coincided with a report that restaurant closures could have led to nearly 1,600 job losses in February and several high-profile lay-off announcements at Citigroup, TikTok, Tara mines and Mediahuis. It also overlapped with higher excise duty on motor fuels as well as increased prices for broadband, mobile and TV services.

"Recent sentiment survey readings might suggest Irish consumers are grappling with...