Irish consumer confidence increased in March but the marginal monthly gain suggests most households are not seeing any dramatic improvement in their circumstances, according to the KBC Bank Ireland/ESRI consumer sentiment index.
The index increased to 97.8 last month from 96.1 in February, having fallen from a 9-month high recorded in January 2015.
A weakening in the jobs element of the March consumer sentiment survey saw positive views on the twelve month outlook edge down to 48 per cent to 45 per cent in March while negative views jumped from 15 per cent to 25 per cent.
The small improvement in sentiment in Ireland last month contrasted with a decline in the closest comparable measure in the US which showed a second successive monthly fall after hitting an eleven year high in January.
The March reading for Ireland also contrasted with sharp improvements in consumer confidence in the Euro area and the UK which posted their strongest readings since July 2007 and September 2002 respectively.
KBC Bank Ireland chief economist Austin Hughes said consumers are very positive about prospects for the Irish economy but they were a little more cautious about the outlook for jobs in March.
“The latter could be a statistical blip or it could reflect a view that rising numbers at work and falling unemployment aren’t delivering the sort of improvements in pay that they would in the past”.
