Confidence rises, but Munster consumers least financially secure

CONSUMERS now believe the worst of the economic crisis is over, according to a new report. However, those living in Munster remain the least financially secure on a regional basis.

The latest quarterly financial confidence index from financial services giant, Standard Life – covering the last three months of 2009 – has shown an increase for the first time in 21 months; by 2% to 54.6 from the preceding quarter.

According to Brendan Barr, head of marketing at Standard Life Ireland: “This is the first increase in nearly two years and hopefully increased confidence signals a positive impact for the real economy.

“Our latest survey was taken during the second half of December, after one of the toughest budgets in years, so this is even more encouraging news.”

The index was at an all-time high – of 66.7 – in March 2008, but hit its record low (52.6) in September of last year. It registered continuous declines between those two months.

On a quarter-by-quarter basis, the survey showed a 2.2% rise in financial confidence among males and a 1.9% rise amongfemales.

During the last quarter of the year, younger adults – aged 25 to 34 – experienced the largest increase in financial confidence, rising by as much as 5.8%.

Adults over the age of 65 saw a slight decline in their confidence levels, although that age bracket does remain the most financially secure demographic group in thecountry.

Meanwhile, when measured on a regional basis, people living in Dublin claim to be the most financially secure, while the confidence gauge showed that Munster- based consumers are the least financially secure.

The groups who experienced the largest decreases in confidence, over the past year as a whole, were those aged between 45 and 54 and those living in Leinster, but outside of Dublin.