Hospitality records strong growth

Strong growth was again seen in the Hotels, Restaurants & Bars sector of the economy with growth registering 8.2% in September according to Visa’s Irish Consumer Spending Index, produced by IHA Markit, which measures expenditure across all payment types (cash, cheques and electronic payments).

Recreation & Culture also witnessed a 4.5% growth during the month.

But the Index revealed that generally, spending in Ireland rose at a slower rate during September, with the prospect of the 2019 Budget soon to be announced.

Compared to a year earlier, general expenditure rose by 1.5% year-on-year but was down from 2.2% in August. Nevertheless growth has now been recorded in each of the past 19 months even if the latest rise in household expenditure was the weakest recorded since March 2018.

Solid growth of 2.8% was also recorded in Food, Beverages & Tobacco.

“The weak growth in spending recorded in September marks potential concern from Irish consumers” said Philip Konopik, Visa’s Ireland Country Manager, “which aligns with the recent drop in consumer confidence reported elsewhere – amid factors such as the recent Budget announcement and ongoing Brexit negotiations.”