Irish consumer spending is rising at a robust pace, according to the latest retail sales figures.
Retail sales data for July shows that core sales, which excludes motor vehicles were 5.6 per cent ahead of last year.
This represents the fastest rate of growth recorded since January 2002. In the first seven months of the year the average annual increase was 5.1 per cent for headline retail sales - which include car sales, and 4.6 per cent for core sales.
Bar sales continued to recover, and the three-month moving average rate of growth of 3.7 per cent year-on-year was the first time that volumes have been in positive territory since August 2001.
Moderating increases in pubs and good summer weather may have lured customers back following several years of high inflation, but further price competition will be required to counter "rip-off" allegations and the impressive growth in sales of wine - mainly through off-licences and supermarkets.