Menu
02/10/2012
Consumer Confidence Dropped In September
Irish consumer confidence dropped sharply in September as the government began debating another austerity budget
The KBC Ireland/ESRI Consumer Sentiment Index dropped to 60.2 in September from 70.0 in August.
The news has knocked back hopes that more stable state finances would help boost high street spending.
The decline is the greatest since fears about the euro zone's future began to take hold late last year.
It leaves the index at its lowest level since February.
Dublin is currently seeking a way out of its debt problems and, with unemployment increasingly high across the Continent, the government will need to ease this economic decline.
Media speculation regarding a new household tax and cuts to social security and health spending in December’s Budget have unnerved consumers, according to the survey’s authors.
"The September survey suggests the fear factor has returned as consumers worry about the possible impact of another severe budget on already strained household spending power," said KBC chief economist Austin Hughes.
"The improvement in confidence thus far in 2012 was tentative and fragile in nature... built largely on a gradual easing in concerns ... rather than any dramatically positive news."
But he did admit the fall may have overstated the change in the mood of consumers.
The fall in Irish consumer confidence mirrors that of consumers across Europe, which fell in September as a result of government lay-offs, budget cuts, record joblessness and high inflation.
(IT/GK)
The KBC Ireland/ESRI Consumer Sentiment Index dropped to 60.2 in September from 70.0 in August.
The news has knocked back hopes that more stable state finances would help boost high street spending.
The decline is the greatest since fears about the euro zone's future began to take hold late last year.
It leaves the index at its lowest level since February.
Dublin is currently seeking a way out of its debt problems and, with unemployment increasingly high across the Continent, the government will need to ease this economic decline.
Media speculation regarding a new household tax and cuts to social security and health spending in December’s Budget have unnerved consumers, according to the survey’s authors.
"The September survey suggests the fear factor has returned as consumers worry about the possible impact of another severe budget on already strained household spending power," said KBC chief economist Austin Hughes.
"The improvement in confidence thus far in 2012 was tentative and fragile in nature... built largely on a gradual easing in concerns ... rather than any dramatically positive news."
But he did admit the fall may have overstated the change in the mood of consumers.
The fall in Irish consumer confidence mirrors that of consumers across Europe, which fell in September as a result of government lay-offs, budget cuts, record joblessness and high inflation.
(IT/GK)
Related Irish News Stories
Click here for the latest headlines.
02 November 2009
Ryanair See Soaring Profits Fly
Budget airline Ryanair has revealed a rise in first-half profits by 80% for the year. Releasing the figures today, the company said its first half results were so strong it could reverse its long-standing strategy of rapid growth and instead distribute cash to shareholders.
Ryanair See Soaring Profits Fly
Budget airline Ryanair has revealed a rise in first-half profits by 80% for the year. Releasing the figures today, the company said its first half results were so strong it could reverse its long-standing strategy of rapid growth and instead distribute cash to shareholders.
29 February 2008
Slowing Economy Doesn’t Make Much Cents
Recent figures have shown a slowing in a variety of aspects in the economy and consumer confidence has taken a hit.
Slowing Economy Doesn’t Make Much Cents
Recent figures have shown a slowing in a variety of aspects in the economy and consumer confidence has taken a hit.
30 August 2007
Irish Consumer Confidence Hits Four-Year Low
Irish consumer confidence fell to its lowest level for almost four years, according to a new survey. The consumer sentiment index, compiled by the IIB Bank and ESRI, fell to 72.0 in August from 74.7 in July - the lowest level since October 2003.
Irish Consumer Confidence Hits Four-Year Low
Irish consumer confidence fell to its lowest level for almost four years, according to a new survey. The consumer sentiment index, compiled by the IIB Bank and ESRI, fell to 72.0 in August from 74.7 in July - the lowest level since October 2003.
28 July 2009
Northern Confidence Rising, Says Bank
A new survey in the North has revealed a significant reduction in the number of people there who are pessimistic about their anticipated financial position over the coming year. Consumer confidence in Northern Ireland rose to its highest level in 10 months in June suggesting that economic stability is helping to shed some of the recessionary gloom.
Northern Confidence Rising, Says Bank
A new survey in the North has revealed a significant reduction in the number of people there who are pessimistic about their anticipated financial position over the coming year. Consumer confidence in Northern Ireland rose to its highest level in 10 months in June suggesting that economic stability is helping to shed some of the recessionary gloom.
22 November 2010
North's Secretary Offers Irish Bail-out
At the same time as pressing the Stormont Executive to quickly agree their own local budget, the North's Secretary of State, Owen Paterson has just reiterated the UK Government's willingness to assist the Irish Government if asked.
North's Secretary Offers Irish Bail-out
At the same time as pressing the Stormont Executive to quickly agree their own local budget, the North's Secretary of State, Owen Paterson has just reiterated the UK Government's willingness to assist the Irish Government if asked.
-
Ireland WeatherThis Evening and Tonight:Clear start with a fairly widespread frost developing. Increasing cloud brings occasionally heavy rain overnight, preceded, especially over western hills, briefly by snow. Occasional southeasterly gales, severe near coasts, developing. Minimum temperature -2 °C.
