Retail sales rose by 0.2 per cent last month, rebounding from a marked slump in March, as sales of cars and electrical goods boosted numbers on the high street.
However, the latest tranche of figures from the Central Statistics Office (CSO) show the volume of sales in April still declined by 0.5 per cent on an annual basis, reflecting an ongoing weakness in consumer demand.
When car sales are stripped out, April sales fell by 0.3 per cent compared with the previous month, and by 0.3 per cent on an annual basis.
The sectors with the largest monthly increases were books, newspapers and stationery which enjoyed an 8.7 per cent bounce in sales, and electrical goods which saw sales rise by 2.6 per cent.
Car sales, which have fallen by more than 20 per cent in the downturn, rose 1.7 per cent in April.
The sectors with the largest monthly decreases were food, drink and tobacco which saw sales drop 4.5 per cent, and department stores which saw a 3.6 per cent drop in trade.
"An improvement had been expected given the abnormally cold weather experienced in March," Investec economist Philip O'Sullivan said.
“However, the decline in core retail sales, which excludes the volatile motor trade, is reflective of a consumer that is under pressure.”
“On an annual basis ,core sales have now been in negative territory for two successive months, in stark contrast to the preceding seven months, during which core sales had consistently been up on an annual basis in both value and volume terms.”
He said the figures pointed to a mixed start to the second quarter for the retail sector.
"For the year as a whole we expect to see a further drop in private consumption in Ireland, with these latest data doing little to alter our view."
Mark Fielding, chief executive of the Irish Small and Medium Enterprises Association, accused the Government of adopting "ostrich stance" on retail policy, hoping that the market will "right itself", without state intervention.
He said the figures for April confirmed the distressed state of the sector with little sign of an upturn.
“Retailers are investing in their shops by way of new fit-outs, equipment and staff training ahead of any increase in consumer spending. Government must play its part in stimulating the economy to ignite increased demand.”
“The way to kick-start the economy, from retail stance, is to curtail utility costs, rates and banking charges, while investing steadily in infrastructure, without increasing the tax burden.”
