Retail sales show no signs of strong improvement as fuel continues to pinch consumers – The Irish Times

Retail sales in Ireland rose marginally last month, with fuel prices continuing to present the most pressing issue for consumers since the war in the Middle East interrupted the global oil in February.

Data released today by the Central Statistics Office (CSO) on Tuesday show the volume of retail sales across the country increased by 0.4 per cent from May to June.

This amounts to a 0.6 per cent increase from the volume recorded in June last year.

The month-on-month figures build on similar results from earlier in the summer, which revealed a 0.2 per cent rise in retail sale from April to May when motor trades are excluded.

The value of fuel sales decreased by 1.1 per cent last month, however its volume decreased by only 0.4 per cent, reflecting the spike in prices and its impact on consumer spending.

That’s is a 6 per cent jump from June 2025 and a 3.6 per cent drop from the same time period, highlighting how consequential the closure of the Strait of Hormuz in February has been on fuel prices.

Tommy Allen, from the CSO’s enterprise division, said “the continued divergence of value and volume [of fuel sales] reflects the inflation currently being experienced in the sector.”

More broadly, “sectors showing the largest monthly volume increases were electrical goods (+1.8 per cent), clothing, footwear and textiles (+1.5 per cent), bars (+1.2 per cent), and books, newspapers and stationery (+1.2 per cent),” he continued.

Allen noted the largest monthly volume decreased were recorded in furniture and lighting, with a -1.8 per cent drop, and pharmaceuticals, medical and cosmetic articles, down -1.4 per cent.

Eugene Kieran, an independent investment consultant, said “big ticket items, like furniture, continue to lag behind (down 7 per cent on the year) which may be a sign of some consumer caution.”

“Consumer spending in Ireland is expected to rise by close to 2 per cent next year, but as uncertainty around global economic policy and global political risk remains off the charts, any forecast should come with a huge health warning,” he said.