Discretionary spending rose in May despite the impact of fuel and energy cost increases on Irish consumers, according to data from AIB.
The figures were compiled from 83 million card transactions carried out by AIB customers in-store and online during May. Overall spend for the month increased by 2 per cent.
AIB said there was a 10 per cent increase in spending in restaurants, while pubs and fast food outlets enjoyed bounces of five per cent and seven per cent respectively, when compared with 12 months earlier.
Off-licence sales were down 10 per cent, while taxi spend was up 8 per cent. The figures also show entertainment spend was up 6 per cent, partially driven by strong growth in cinemas, with sales up 53 per cent on last May.
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May 3rd was the highest spend day in cinemas this year, taking in the recent release of The Devil Wears Prada 2, as well as the Michael Jackson biopic. Spending on electrical goods was up 11 per cent year-on-year in advance of World Cup 2026.
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Service station spend continued to rise, with an 8 per cent increase over 12 months, while electric vehicle charging was up 74 per cent.
Spending on road and bridge tolls was up 7 per cent, while the squeeze led to a reduction in travel-related expenditure.
Airline expenditure was down 6 per cent, cruise line spend was down 29 per cent and travel agency spend was down 3 per cent.
Meanwhile, clothing store spending was down 9 per cent, while there was huge growth in second-hand stores – such as Vinted – where spending was up 197 per cent year-on-year.
AIB head of consumer Adrian Moynihan said the data for May indicate “a resilience among Irish consumers after the initial impact of rising energy costs impacted spending patterns the previous month”.
“In particular, spend on discretionary activities such as eating out and cinema trips increased strongly in May,” he said. “Service station spend levels remain elevated, however, as a result of the continued impact of the Middle East conflict.”
