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Extra.ie
23-05-2025
- Business
- Extra.ie
One in four Irish 'clinging on' when it comes to finances
One in four people in Ireland are 'clinging on' when it comes to their finances, a survey has found. While just over half of Irish consumers could be regarded as financially 'comfortable' at present, some 20% say they are just 'coping', the latest Credit Union Irish Consumer Sentiment Survey shows. Those who describe themselves as 'coping' would borrow from family or friends, or from a bank or credit union, or by using a credit card, in the event of a financial emergency. People who are 'clinging on' include those who say they could not handle a financial emergency at present as well as those who would resort to borrowing from a lender other than a bank or credit union and those who would sell something. One in four people in Ireland are 'clinging on' when it comes to their finances, a survey has found. Pic: Shutterstock Irish League of Credit Unions chief executive David Malone said: 'While many are reasonably comfortable at present and planning a better future, others would face substantial problems in the event of an unexpected expense or bill. As always, credit union members can rely on their local credit union to support them through both the financial emergencies and opportunities they encounter.' Consumer confidence improved marginally in May as US president Donald Trump's tariff threats eased slightly, but continuing downside risks to the economy and some signs of renewed pressure on household finances mean sentiment remains 'soft and continues to signal a nervous Irish consumer', it was found. One in five said they would not cope with an unexpected bill of €1,000. Economist Austin Hughes, author of the report, said: 'With some roll-back of the scale and timing of increased tariffs in recent weeks and a sequence of largely reassuring domestic economic releases, a very slight pick-up in Irish consumer sentiment in May is not altogether surprising. While just over half of Irish consumers could be regarded as financially 'comfortable' at present, some 20% say they are just 'coping', the latest Credit Union Irish Consumer Sentiment Survey shows. Pic: Shutterstock 'However, the latest survey reading still suggests Irish consumers remain gloomy. 'The weakest elements of the May survey reading related to household finances, likely reflecting a pick-up in grocery bills of late which suggests many consumers continue to experience strains on household finances.' He added: 'While just over half of Irish consumers could weather a financial emergency by drawing on savings or income, around one in five say they would be unable to cope with an unexpected financial outlay of €1,000.' More than a third (37%) of consumers would rely on savings in a financial emergency, 18% would use current incomes to handle such a problem, while15% say they could not deal with an unexpected financial outlay. The latest survey reading still suggests Irish consumers remain gloomy. Pic: Shutterstock About one in four consumers might be seen as 'clinging on', in financial difficulty, it was found. May's sentiment reading of 60.8 was up marginally on April's 58.7 figure but significantly lower than the 74.9 in January. The May reading is also way below the long-term survey average of 84.0. Mr Hughes added: 'While the slight uptick in the May sentiment reading should be seen as positive in that it suggests Irish consumers are both able and willing to see small traces of sunlight in a dark economic sky, the general tone of the of the survey suggests Irish consumers remain nervous about the economic outlook and negative about their own household finances. 'The mixed elements of the survey in May also suggest that good weather didn't drive a broadly based improvement in the mood of Irish consumers.' He added: 'The May survey saw a slight step-back from the particularly negative views formed in the aftermath of the early April announcements of dramatic increases in tariffs on goods going to the US.'
Irish Times
23-05-2025
- Business
- Irish Times
Cooling-off of tariff rhetoric boosts Irish consumer confidence
The cooling-off of tariff rhetoric in May slightly improved shoppers' confidence, though it remains well below the long-term level, a new survey has indicated. Amid the cost-of-living crisis, 15 per cent of Irish consumers say they would not be able to cope with an emergency cost of €1,000, according to the Irish League of Credit Unions (ILCU). 'With some rollback of the scale and timing of increased tariffs in recent weeks and a sequence of largely reassuring domestic economic releases, a very slight pickup in Irish consumer sentiment in May is not altogether surprising,' it said. Despite the bump in confidence, Irish consumers still 'remain gloomy', the survey found. Although at an index reading of 60.8 in May – an improvement on 58.7 in April – the level is significantly lower than the long-term average of 84.0. READ MORE The growth in the overall consumer sentiment figure was driven by a 'limited easing' in the subindexes measuring consumers' outlook for the economy and employment. This positive step outweighed a weakening in the index for consumers' perceptions of their personal finances. The survey, which was conducted in partnership with Core Research, found that Irish consumers still expect a contraction in the general and job economies, but sentiment had recovered slightly from its recent low last month. Irish consumers downgraded their perception of their own finances, falling from 72.3 for the past year and to 71.8 for the year ahead. 'Our sense is that renewed consumer concerns around their household finances owe much to a continuing step-up in grocery price inflation that has translated into ongoing and somewhat unexpected financial strains for significant numbers of consumers,' the Irish survey noted. The number of those who would be able to use savings to deal with an unexpected financial emergency costing €1,000 has decreased from 39 per cent to 37 per cent, down from the 2023 peak of 44 per cent. [ 'No long-term commitments to anything' – Ireland's economy is experiencing a silent slowdown Opens in new window ] In broader financial terms, the survey said: 'It remains the case that a significant 15 per cent of Irish consumers say they would be unable to cope with a financial emergency costing €1,000 in 2025.' The survey concluded that just over half of consumers in Ireland are 'comfortable' financially at present, with a further one in four 'clinging on', and would respond to such an emergency by borrowing or selling something. Between those two consumers sections is a share described as 'coping' financially, and could respond to an unexpected financial burden by borrowing from family or friends, or from a bank or credit union, or by using a credit card. David Malone, chief executive of the Irish League of Credit Unions, said: 'The special question in the May credit union consumer sentiment survey highlights the wide range of conditions facing Irish consumers at present. While many are reasonably comfortable at present and planning a better future, others would face substantial problems in the event of an unexpected expense or bill.'
Irish Examiner
22-05-2025
- Business
- Irish Examiner
Consumer sentiment rises after tariff pause but remains low compared to long-term trends
Irish consumer confidence picked up marginally this month as the threat of tariffs receded but the overall outlook remains 'gloomy' with confidence levels 'well below' long-term trends, the latest Consumer Sentiment Index shows. This month's consumer sentiment index reading stood at 60.8 - up from 58.7 during April but significantly lower than the 74.9 figure seen as recently as January. The May survey reading is also some distance below the long-term survey average of 84.0. The Credit Union Irish Consumer Sentiment Survey is based on a sample of 1,000 adults and is conducted by Core Research on behalf of the Irish League of Credit Unions. The analysis of the survey was written by economist Austin Hughes. Mr Hughes said the increase between April and May 'is not altogether surprising' but the 'latest survey reading still suggests Irish consumers remain gloomy, with confidence remaining well below the level of a year ago and its long-term trend'. He said the improvement in Irish consumer sentiment during May was driven by a 'limited easing in concerns about the outlook of the economy and jobs' which more than offset a 'slight weakening' in consumers' assessments of their own personal finances. The survey shows the weakest elements of consumer confidence related to household finances likely reflecting a pick-up in grocery bills of late. While the outlook for household finances over the next 12 months was effectively unchanged, Mr Hughes said this should be seen in the context of that being the weakest element of the April survey reading. 'Our sense is that renewed consumer concerns around their household finances owe much to a continuing step-up in grocery price inflation that has translated into ongoing and somewhat unexpected financial strains for significant numbers of consumers,' he said. 'The tone of the May sentiment survey suggests consumers are slightly less nervous about an apocalyptic collapse of the Irish economy than they were a month ago but there is still a strong sense that economic and financial conditions will be very challenging.' The strongest improvement in consumer sentiment between April and May was seen in the outlook for jobs. 'This likely reflects a partial correction of the thinking that prompted a sharp weakening in sentiment in April,' Mr Hughes said. 'Comfortable' v 'clinging on' In the survey, consumers were also asked how their household would deal with an unexpected financial emergency costing €1,000. It showed 15% saying they couldn't deal with an unexpected financial outlay while 37% said they would rely on savings. Another 18% said they would use their current incomes to handle such a problem. 'Drawing together those who can meet an unexpected financial emergency through savings or from their current incomes, the 2025 survey might suggest that a little over half of Irish consumers might be described as 'comfortable' at present,' Mr Hughes said. 'At the other end of the financial spectrum, roughly one in four Irish consumers might be considered to be 'clinging on'. This grouping includes those who say they could not handle a financial emergency at present as well as those who would resort to borrowing from a lender other than a bank or credit union and those who would sell something,' he said.
Irish Independent
08-05-2025
- Business
- Irish Independent
Council spends over €200k on metal barriers in and around Mount Street
Metal barriers in and around Mount Street have cost Dublin City Council (DCC) over €200,000 in the past year. Figures released under the Freedom of Information Act reveal that DCC has spent a total of €208,480 on the installation and ongoing maintenance of these metal barriers, which were first erected in May last year. A spokesperson for DCC said the barriers were put in place 'to deter people from rough sleeping and camping in the area'. They added that while there are 'no plans at present to remove the fencing', the situation is regularly reviewed. The barriers were initially installed after over 200 asylum seekers were removed from tents along Mount Street as part of a multi-agency operation. In response to the increasing number of people seeking shelter in the area, the council introduced the barriers to prevent further encampments. The aim was to keep the street clear and ensure that individuals seeking asylum would not set up temporary homes in tents, which had previously become a common sight in the area. The total expenditure for the barriers now stands at €208,480 for the full year, which includes an initial expense of €6,650 for traffic management and the installation of the barriers in May last year. A further €700 was spent on the removal of equipment shortly after the barriers were put in place. In October, a €700 repair bill was incurred after the barriers were damaged. However, the most significant expenditure has been the ongoing weekly hire charges, which has totalled €200,430 for the 51 weeks since the installation. This averages out at almost €4,000 per week. Despite being viewed as a temporary solution, the ongoing rental of the barriers has sparked criticism, with some questioning whether a more permanent solution should be considered. ADVERTISEMENT The former headquarters of the Irish League of Credit Unions, which is located nearby, is set to be converted into accommodation for asylum seekers. The building was sold in 2023 for €9.5m and is now owned by Lower Mount Street Accommodation Services, which has applied for permission to convert the property into a refugee centre. Although the exact number of residents is yet to be confirmed, estimates suggest the building could accommodate up to 700 asylum seekers. The property's location, close to the area where asylum seekers have previously been seen sleeping in tents, has raised concerns from local residents. Many have voiced frustration with the fact they have been living with both tents and metal barriers for over 18 months. Others have raised concerns about the lack of adequate services and facilities, suggesting the area may not be equipped to handle such a large number of people.
Irish Times
06-05-2025
- Business
- Irish Times
Trade war threat spooks shoppers
April's trade war threat spooked shoppers last month, but there are no indications yet that Irish people plan to rein in spending, a survey indicates. The news comes as a Government report shows that consumers were key to recovery from Covid-19 lockdowns. Global uncertainty sparked by US president Donald Trump 's pledge early in the month to tariff imports led to consumer sentiment here plunging, according to the Irish League of Credit Unions (ILCU). The organisation said on Tuesday that fears that a global trade war would lead to 'markedly weaker economic conditions' at home left confidence at its weakest in two years. READ MORE 'Irish consumers are now altogether more nervous and negative about the economic and financial environment than they were at the start of this year,' said the league in a statement. Irish people are more nervous and negative about the economic and financial environment than at the start of the year, it added. 100 days of Trump: 'It's like The Karate Kid, tax on, tax off, tariffs on, tariffs off' Listen | 42:49 Consumers in other countries share Irish shoppers' nervousness as surveys worldwide last month found similar sentiments, the statement noted. However, the survey carried out by the credit union league with Core Research , most people are not planning to rein in spending yet. Irish League of Credit Unions chief executive David Malone noted that its sentiment survey highlighted that despite 'current economic uncertainty, the majority of Irish consumers are now planning to spend on home improvements'. Meanwhile, a Department of Finance report shows that a rebound in consumer spending aided the economy in recovering from Government-imposed Covid curbs. Families accumulated cash as lockdowns forced them to stay indoors, cutting their opportunity to spend, states the report, The Irish Economy – five years on from the pandemic. 'Once restrictions were formally lifted, healthy balance sheets and the release of pent-up demand triggered a large and fairly rapid rebound in consumer spending,' it notes. The report, due for release on Tuesday, states that this rebound in spending was key to the economy's recovery from Government restraints. However, Irish people ended up paying far more for goods and services after Covid than before, the civil servants in the department's economics division acknowledge. [ Irish consumers nervous about Trump policy shift as sentiment remains subdued Opens in new window ] Several shocks, including Russia's invasion of Ukraine, which came as the Government rolled back the last of its restrictions, drove the most severe bout of inflation in decades. Prices are now about 20 per cent higher than they were before the government locked the State down five years ago, the research indicates. The department claims that businesses have created about 400,000 jobs here over the last five years, keeping unemployment at 5 per cent since 2022. 'Government supports helped maintain the link between employers and employees and prevented long-term 'scarring' effects on the labour market,' the department maintains.
