Confidence hits 18-month high

CONSUMER confidence hit an 18-month high in October, but retailers warn of tough trading conditions in the run-up to Christmas.

The KBC/ESRI consumer sentiment index rose to 54.2 from 49.6 in September. This compares with a reading of 42 in October last year and to an all-time low of 39.6 reached in July 2008.

Austin Hughes of KBC Ireland said that while consumers may feel marginally less gloomy they seem very unlikely to rush to the shops.