Consumer confidence returns to boom levels last seen in 2006

Consumer confidence has returned to boom levels, according to the Consumer Market Monitor which found that consumer confidence has returned to levels last seen in 2006.

The results of the third quarter monitor from UCD Michael Smurfit Graduate Business School and the Marketing Institute of Ireland shows consumer confidence at a six-year high in Sep 2013, despite concerns about the impact of new household taxes.

Professor of Marketing UCD Smurfit School Mary Lambkin said that sales of big ticket items like houses and cars were a sign that the economy was turning.

“Disposable incomes are still under pressure, but consumer confidence has returned, a leading indicator of recovery in the consumer market. Increased car sales in recent months are another positive sign, as is the rise in the number of residential property sales. In addition, the fact that the Government budget was brought forward to October this year, and employment data continues to be positive, should help to ensure confidence stays upbeat in the final quarter of the year.”

There were over 10,900 home purchase transactions in the first half of 2013, an increase of 13% on last year. There were 6,000 transactions in the second quarter alone, compared with 5,200 in Q2 2012, a rise of 15%.