September spending slides as consumers tighten belts
Overall, Bank of Ireland’s Debit and Credit Card spending painted a relatively gloomy picture in September when compared to the Summer months as consumers tightened their belts considerably, with Summer holidays, trips to the beach and hotel stays all consigned to recent history.
BofI’s Debit and Credit Card transactions were down 22% in restaurants last month too compared with August while such transactions in hotels & resorts showed a decline of 26% as children returned to school and their parents made their way back to the office, according to BoI’s latest spend figures.
People also seemed to order less from fast-food outlets – which resulted in a spending decline of 18% in September compared to August.
Total September spend was down by 8% compared to August while total social spend decreased by 16%.
Overall, Bank of Ireland’s Debit and Credit Card spending painted a relatively gloomy picture in September when compared to the Summer months as consumers tightened their belts considerably, with Summer holidays, trips to the beach and hotel stays all consigned to recent history. The latest spending trend was in keeping with the same month in 2021 however, when September’s outlay fell by 6% overall.
Not one county posted a positive spending score this September, with near double-digit drops recorded in Dublin and Sligo (down 9%) while Cork, Mayo and Limerick were down 8%. Spending in both Cavan and Louth fell by just 6% during the period, giving these counties the dubious honour of recording the shallowest spending falls.
“August is usually a month where workers shut down their laptops, children pack for an adventure and holiday season kicks into overdrive,” commented Jilly Clarkin, BofI’s Head of Customer Journeys & SME Markets, “Therefore, it won’t come as much of a surprise for many people to see the September spending stats indicating that consumers nationwide pulled back a little last month and saved up for what could well be a harsh Winter.
“With consumers currently enduring cost of living challenges exacerbated by rising energy prices and stubborn inflation hikes, it will be interesting to see if these more restrained spending patterns continue over the coming months.”
