Retail sales growth static in August

Retail sales growth remained depressed in August, according to the latest figures.

Retail sales growth remained depressed in August, according to the latest figures.

The data show the overall volume of retail sales during the month was just 0.4 per cent higher than during the same month last year.

Motor sales are a particular source of weakness and when these are excluded, the annual volume growth in August sales increases to 0.6 per cent.

The data from the Central Statistics Office show a continuation of the generally weak but volatile trend in sales.

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The volume of retail sales was 1 per cent higher in August than the previous month, but this followed a 1.8 per cent fall in July.

The overall subdued trend is confirmed by three month figures, which show that the volume of sales in the three months ended August was 1.2 per cent ahead of the previous three months.

July is the latest month for which a detailed breakdown of the figures is available.

They show that electrical goods was the strongest growing sector, with sales in the May to July period running 9.2 per cent ahead of the previous three months.

However, there was considerable weakness in the DIY sector, with hardware, paints and glass sales down 8.2 per cent in the quarter compared to the previous three months.

Recent consumer confidence surveys - including the Irish Times TNSmrbi Pulse Survey and the IIB/ESRI Consumer Confidence index - showed a fall-off in confidence in early summer, but some suggestions of a revival in recent months.

Economic analysts will now be watching to see whether this revival is reflected in consumer spending over the balance of the year and particularly in the key period heading up to Christmas.

Cliff Taylor

Cliff Taylor

Cliff Taylor is an Irish Times writer and Managing Editor