Bank of Ireland credit and debit card data for the first two weeks of December revealed that spending levels rose nationwide compared to the same period in 2022.
Cavan shoppers engaged in “the biggest pre-Christmas splurge, with spending in the county rising by 11% during the fortnight compared to the same period in 2022. Donegal, Kildare and Longford all posted 9% increases, with 8% hikes recorded in Dublin, Galway and Waterford. Carlow shoppers kept the tightest rein on their spending, posting just a 4% increase.”
Compared with the same dates in 2022 (1 December – 14 December), total nationwide spend this year “increased by 8%, with social spending rising by 7% overall and retail spending up 4%.”
Restaurants (+10%) and pubs (+7%) enjoyed “a timely spending boost, while outlay in beauty spas rose by 9%, as people enjoyed some pre-Christmas pampering. Toy shop spending increased 9% as savvy early shoppers beat the big queues and cinemas saw a huge 65% rise, no doubt driven by popular Christmas movies.”
Spending rose highest “amongst 18 – 25-year olds (+11%), closely followed by 36-45 year olds (+10%) and 26-35-year olds (+8%). Card spending rose in both Portugal (+18%) and Spain (+10%), as many soaked up some winter sun before Christmas.”
Commenting on Bank of Ireland’s December Spending Pulse, Jilly Clarkin, Head of Customer Journeys & SME Markets at Bank of Ireland said:
“For businesses nationwide it’s great to see a jump in spending as consumers get a head-start on their Christmas shopping. Cavan households can look forward to a bumper Christmas judging by a significant yearly increase – whilst those living in Carlow must hope that their families and friends are holding back for a dash to the shops closer to Christmas Day.”
It’s worth noting that it is not quite clear what’s driving this surge in consumer spending, considering that inflation and the overall cost-of-living has not stabilized as much as it should have by now. Despite the uncertain economic environment, consumers appear to be spending more aggressively than expected.