Irish consumer spending was up 9.2 per cent year-on-year across all payment types in May, according to Visa Europe’s Consumer Spending Index.

The growth was slightly slower than the 9.6 per cent rise in April, but still among the strongest in the 21-month history of the index.

Rising expenditure was recorded across each of the eight broad sectors covered by the report. For the sixth successive month, the strongest expansion in spending was seen in the recreation and culture category.

Visa Europe said consumers visited tourist attractions and made bookings through travel agents, which led to a 19.2 per cent rise.

Further evidence of spending in the leisure economy was provided by a 13.4 per cent increase in expenditure in the hotels, restaurants and bars sector. The rate of growth in this category was the fastest in three months.

Further substantial increases in household spending were recorded in the transport and communication sector, which was up 14.9 per cent, and the household goods sector, which was up 13.4 per cent.

The data showed that overall expenditure growth continued to be driven by eCommerce categories. Online spending was up 18.6 per cent year-on-year.

Face-to-Face expenditure rose at a slower pace than seen in April at 5.1 per cent year-on-year.

After having slowed to an 18-month low in April, the rate of growth in spending on clothing and footwear rebounded in May. Its 6.2 per cent rise was the sharpest since February.

Food, beverages and tobacco registered a modest, but slightly faster increase in spending. The least marked expansions in expenditure were recorded in the health and education and miscellaneous goods and services categories.

Markit senior economist Andrew Harker said the data suggested that "the current environment of rising wages, falling unemployment and a lack of inflationary pressure is continuing to encourage consumers to spend money".