Lending rises but spending slowdown is continuing

Two new sets of data show that lending to Irish households has started to grow again, but the slowdown in consumer spending levels continues to take hold.

Latest Central Bank personal credit and deposit statistics show total lending to Irish households grew by 0.4% year on year in the first quarter of the year.

Lending for house purchases fell by 0.9% on a year-on-year basis, but there was a 10% annualised rise in borrowing for other purposes. The latest Central Bank figures also show a 2.7% annualised rise, for the first quarter, in total household deposit levels.