More than 1 million have €50 or less left at the end of month

470,000 have nothing left at end of month, a fall of 10,000, survey shows

 


The finances of Irish households are continuing to improve gradually, according to a new survey that shows disposable income increasing by €13 a month for adults over the past 12 months. Working adults reported an increase of €20 over the same period, it showed.

The quarterly “What’s Left” income tracking survey from the Irish League of Credit Unions (ILCU) has also recorded a significant fall in the number of people who say their disposable income has decreased. Some 54 per cent say they have less to spend, compared with a year ago when two-thirds reported a decline in disposable income.

The survey, released yesterday, reported that 470,000 adults have nothing left at the end of the month once all bills have been paid, a decline of 10,000 since December 2013.

A further 1.1 million were said to have €50 or less left at the end of the month, up 56,000 on the December figure, while 1.7 million people were found to have €100 or less left at the end of the month, up 32,000 on the December figure.

Gradual recovery
The shift in numbers suggest that more people are moving out of the lower disposable income categories and into the higher categories, indicating a gradual recovery in family finances.

“Over the past 12 months we have begun to see the first signs of possible economic recovery,” said ILCU chief executive Kieron Brennan. “This is certainly good news and, should the results continue like this throughout 2014, it is quite possible that we will see a strengthening in consumer confidence, which will impact on savings and spending levels.”

He said those struggling to pay their bills on time every month were “becoming savvier and are shopping around for the best deals or switching providers in an effort to keep costs down”.

However, Mr Brennan highlighted the high cost of motoring, in particular the cost of fuel and described it as “a big concern” for Irish motorists.

“Many fear that any further increase in price of fuel will result in them having to give up their car. Many also find the cost of car insurance prohibitive and the high levels of switching behaviour in this market indicate a dissatisfaction with insurance pricing structures.”


Rethinking donations
Meanwhile, recent scandals in the Irish charity sector have seen people rethink how they make donations, with one in five stopping charitable contributions entirely, according to a survey published today.

The research, also from the ILCU, shows that while 62 per cent of adults still donate an average of €25 per month to charity, 50 per cent are making smaller donations due to the recession with the amounts donated falling by 39 per cent since the recession started.

The Irish Times Logo
Commenting on The Irish Times has changed. To comment you must now be an Irish Times subscriber.
SUBSCRIBE
GO BACK
Error Image
The account details entered are not currently associated with an Irish Times subscription. Please subscribe to sign in to comment.
Comment Sign In

Forgot password?
The Irish Times Logo
Thank you
You should receive instructions for resetting your password. When you have reset your password, you can Sign In.
The Irish Times Logo
Please choose a screen name. This name will appear beside any comments you post. Your screen name should follow the standards set out in our community standards.
Screen Name Selection

Hello

Please choose a screen name. This name will appear beside any comments you post. Your screen name should follow the standards set out in our community standards.

The Irish Times Logo
Commenting on The Irish Times has changed. To comment you must now be an Irish Times subscriber.
SUBSCRIBE
Forgot Password
Please enter your email address so we can send you a link to reset your password.

Sign In

Your Comments
We reserve the right to remove any content at any time from this Community, including without limitation if it violates the Community Standards. We ask that you report content that you in good faith believe violates the above rules by clicking the Flag link next to the offending comment or by filling out this form. New comments are only accepted for 3 days from the date of publication.