Retail sector hit by weak sterling

THE ongoing sterling weakness will pose a major threat to the retail sector in the run-up to Christmas with cross-border shopping now costing the economy €430 million a year.

The opening of IKEA however, meant furniture and lighting sales surged 26% in August, in a month when overall retail sales were down 9% compared to the same month last year.

Latest figures from the CSO show there was a monthly decrease of 1% in retail sales in August. If car sales are excluded, the volume of retail sales fell annually by 5.2% and the monthly change was -1.8%.