Introduction of euro reduces spending power, say shoppers

SHOPPERS gearing up for an €1.8 billion Christmas shopping spree believe the introduction of the euro has reduced their spending power dramatically.

A Deloitte & Touche Consumer Business Group survey of 300 shoppers shows 78% feel the introduction of the euro has had a negative effect on their spending power, with "everything becoming more expensive."

Shoppers believe that the introduction of the euro has made purchases 21% more expensive on average. Only 1% of consumers believe the euro has made things cheaper. Deloitte and Touche's head of consumer business Brendan Jennings said: "Even allowing for an actual inflation rate of 4% to 5% this year, it is clear many consumers believe that manufacturers and retailers have used the introduction of the euro to increase prices beyond that.