| Click for the Finfacts Ireland Portal Homepage |

Finfacts Business News Centre

 Irish Economy
 EU Economy
 US Economy
 UK Economy
 Global Economy
 Asia Economy


How to use our RSS feed

Follow Finfacts on Twitter

Web Finfacts

See Search Box lower down this column for searches of Finfacts news pages. Where there may be the odd special character missing from an older page, it's a problem that developed when Interactive Tools upgraded to a new content management system.


Finfacts is Ireland's leading business information site and you are in its business news section.


Finfacts Homepage

Irish Share Prices

Euribor Daily Rates

Irish Economy

Global Income Per Capita

Global Cost of Living

Irish Tax - Income/Corporate

Global News

Bloomberg News

CNN Money

Cnet Tech News


Irish Independent

Irish Times

Irish Examiner

New York Times

Financial Times

Technology News




Content Management by interactivetools.com.

News : Irish Economy Last Updated: Jun 28, 2014 - 6:16 AM

Irish Economy 2014: Volume of retail sales ex-cars fell in May
By Finfacts Team
Jun 27, 2014 - 1:35 AM

Email this article
 Printer friendly page

Irish Economy 2014: The volume of retail sales (i.e. excluding price effects) increased by 0.9% in May 2014 when compared with April 2014 and there was an increase of 6.2% in the annual figure, according to the CSO today. If Motor Trades are excluded, there was a decrease of 0.5% in the volume of retail sales in May 2014 when compared with April 2014 and there was an increase of 3.4% in the annual figure.

The sectors with the largest month on month volume increases were Motor Trades (+4.6%), Electrical Goods (+1.8%) and Other Retail Sales (+1.4%). The sectors with the largest monthly decreases were Furniture and Lighting (-6.9%), Books, Newspapers and Stationery (-3.9%) and Hardware, Paints & Glass (-2.0%).

There was an increase of 0.6% in the value of retail sales in May 2014 when compared with April 2014 and there was an annual increase of 4.1% when compared with May 2013. If Motor Trades are excluded, there was a monthly decrease of 0.3% in the value of retail sales and an annual increase of 1.4%.

Irish retail sales growth sustained into the second quarter: Conall Mac Coille, chief economist at Davy said: "Thursday’s data suggest that the recovery in Irish retail spending evident in early 2014 has been sustained into the second quarter of the year. Retail sales rose by 0.9% in May and by 6.2% year-on-year. Excluding car sales, retail spending fell by 0.5% in May; however, following a strong 1.9% rise in April, it is still up 3.4% year-on-year.

Overall, retail spending ex-motor trades looks set to rise by around 1% in Q2 2014 – an annualised pace of 4% and a fifth consecutive quarter of expansion. If anything, this suggests that Irish consumer spending could grow even faster than the 1.5% growth we are currently forecasting for 2014. We will be revising our forecasts for the Irish economy after next week’s release of Irish GDP data for Q1 2014.

The rebound in Irish retail spending in 2014 has largely been driven by car sales, up 20.3% year-to-date, driven by the rebound in consumer confidence as Ireland approached the EU/IMF bailout exit. But even excluding car sales, retail spending has expanded by 3.3% in the first five months of 2014. Indeed, exchequer returns to May show VAT receipts up 4.4% year-on-year. So the rebound in consumer spending is helping the Irish government to meet its deficit targets.

At a sectoral level, the recovery in Irish retail spending is proceeding broadly as expected. Consumer sentiment surveys have shown that Irish households are more willing to spend on big ticket items such as motor trades (+20.3% year-to-date) and furniture and lighting (+19.2%). Consumers had also cut back sharply on discretionary items such as automotive fuel (+4.3%) and bars (+0.6) during the recession, but these sectors are now rebounding. Some defensive sectors such as food and beverages (-4.5%) and clothing and footwear (+6.5%) are not necessarily joining in the recovery, having been less affected during the recession."

Retail Ireland, the Ibec group that represents the retail sector said CSO figures published for retail sales in May showed strong growth, but this is tempered when the impact of car sales is factored out of the data. While the value of sales rose by over 4.1%, sales excluding motor trades and bars rose by 1.1% last month compared with May 2013. There was an increase of 3.4% in the volume of those sales, highlighting the fact that retailers continue to discount prices to drive footfall.

Commenting on the figures, Stephen Lynam, Retail Ireland director,  said: "Leaving car sales aside, there was strong growth in the sale of clothing and footwear, furniture and lighting and electrical goods. This suggests that consumers who shied away from buying certain big ticket items are now starting to purchase them. Sales in supermarkets and department stores also rose.

"However, there were falls the sales in specialist food stores like bakeries and butchers, in pharmacies, in hardware outlets and in book stores. These numbers show that many retailers are continuing to struggle.

"Growth in retail is key to ensuring that the economic recovery results in significant job creation. The Budget in October offers the Government a chance to put money back into the pockets of hard pressed consumers, encouraging them to spend and giving retailers reason to start hiring new staff. It is absolutely vital that the Minister takes that opportunity."

Related Articles
Related Articles

© Copyright 2011 by Finfacts.com

Top of Page

Irish Economy
Latest Headlines
Finfacts launches new news site
Irish Farmers & Milk Prices: 'Shackles' off in April; Demanding safety-net in August
Irish pension managed funds returns at over 12% year-to-date in 2015
Irish chartered accountants' salary packages surge 13% in 12 months
Irish services PMI fastest rate since late 2006; Official data up only 2.4% in 12 months
Irish Economy: Tax €893m above target in year to July — €653m from corporation tax
Fact and Fiction: Time to review Ireland's economic statistics?
Irish M&A deals H1 2015: Dutch or UK firm acquires Irish firm for €32.6bn - they are both American
Irish manufacturing PMI strong in July
Irish Economy: Fall in GNP in Q1 2015; GDP rises
Irish Economy 2015: Central Bank lauds strong recovery; Time to start paying down debt
Irish Budget 2016: Ibec demands 20 tax cuts, spending and investment rises
Low pay in Ireland; Lowest social security & corporate taxes in Europe
Ireland vs Greece: Enda Kenny's false claims on growth, taxes and debt
Irish standard of living in 2014 below Euro Area average, Italian level; Prices 5th highest in EU28
Irish goods exports rose a record 30% in April - due to fake tax-related transactions
Mexican tall ship to sail into Dublin on June 17th
Irish industrial production up 20% in first four months of 2015; Construction down 2.6% in first quarter
Irish Economy 2015: ESRI slams return to boom-time pro-cyclical fiscal policy
Irish pension fund returns in average range 1.6% - 1.8% in May 2015
Irish service sector PMI remains strong; Tax avoidance clouds data
Ireland: Official unemployment rate at 9.8% in May; Broad rate at 19% — 440,000 people
Ireland: Fiscal Council warns of dodgy forecasts, no plan; OECD warns of new property bubble
Irish Public Finances: Tax revenue in first five months of 2015 €734m ahead of target
No simple measure of economic progress in Ireland: GDP & GNP defective
Irish manufacturing PMI rises in May; Production up unbelievable 45% in year to March!
ESRI says data volatility hinders Irish economic forecasting; Tax avoidance taboo cause
Ireland at 16 in international competitiveness ranking; US, Singapore and Hong Kong on top
Irish Economy 2015: Sectors to add 200,000 jobs?; Broad jobless rate at 19%
Irish Export Performance: Myths and reality - Ireland is a poor exporter
Irish Economy: 41,300 jobs added in 12 months to Q1 2015 - Construction up 19,600
China-Ireland: Economic relationship on a slow burn
Estonia, Austria, France, Ireland head global alcohol rankings
Irish Exchequer Returns: Tax receipts under target in April but ahead in year
Irish service sector PMI rose in April
Irish manufacturing PMI remained strong in April- includes overseas manufacturing
Irish Live Register + 90,000 activation scheme numbers at 439,000 in April
Ireland: Coalition drops 2018 full-employment target
Ireland Spring Statement: Noonan promises 200,000 net new jobs by 2018
Irish Economy 2015: Retail sales volume up 1.4% in month of March