Consumer confidence is down, following Russia’s invasion of Ukraine and price hikes, the latest B&A Consumer Confidence Barometer shows. Despite most Covid restrictions coming to an end and a stable pandemic situation, consumer confidence is down majorly from January to February, amid concerns about the war in Ukraine and higher costs of living.
Consumer confidence is now at -33, down from -3 in January and back in line with Covid-19 averages. Women, people aged 34 and over, and those living outside Dublin have a more negative outlook compared to the rest of the country. In terms of geography, consumer confidence decreased across all the country’s regions, with confidence lowest in Munster.
B&A says consumers remain cautious in terms of future spending. The reticence is noticeable nationwide, but especially among those who live outside Dublin. While the possible end of the pandemic improved consumer spend intentions in January, the new uncertainty generated by the invasion of Ukraine makes consumers hold back on spending.
Inflation
Attitudes towards the value of personal assets (house, shared, pension entitlements, savings, etc) remain upbeat. Both Dubliners and those living outside Dublin show a positive attitude towards the value of their assets over the next year. The downside of this is that it is not just house prices increasing but also general inflation in the Irish and world economy.
Due to Russia’s invasion of Ukraine and higher costs of living, consumers are pessimistic about their personal finances outlook. Two in five adults expect their personal finances to worsen in the next year. The survey is based on interviews with 1,020 adults aged 16 and over, quota controlled in terms of age, gender, socio-economic class and region.
A mother hugs her newborn child in a maternity hospital in Kyiv – Photo: Unicef
