Consumer spend on groceries fell by 6% in the month of June, compared to the previous month, according to the latest debit and credit card analysis by Bank of Ireland.
Overall, spending in June was 4% lower than the previous month, with social spending in particular dropping back (by 5%).
Spending in pubs was down 8%, while spend on fast food dropped by 4% and restaurants by 3%. Spend on clothing fell by 6%, according to the study.
Cost Of Living Concerns
“Cost of living increases are a concern for everyone, and in that context it is not surprising to see June’s spending levels dropping a bit on last month," commented Jilly Clarkin, head of customer journeys and SME markets at Bank of Ireland.
"The spending data analysed by Bank of Ireland over the past few months has produced some uneven trends, so while total consumer outlay rose significantly in May, it then fell again in June."
On a county-by-county basis, spending dropped right across Ireland, with Donegal in the northwest of the country seeing the biggest drop in spend (-8%), followed by Kerry (-7%) and Roscommon (-7%).
Teenagers Buck The Trend
If analysed by age cohort, teenagers (between the ages of 13 and 17) saw the biggest increase in spending in June (+19%), however every other age group posted a drop in spend during the past month, with 18-25 year olds recording a monthly fall of -12%, 26-35 year olds down by -8% and 56-65 year olds falling by -5%.
"It’s probably too early to identify a clear trend, but some people may be getting more prudent with their money as they look ahead to the second half of the year," Clarkin added. "But we’re also entering peak holiday season, so some consumers could just be holding their spending until they get away.”