Consumer sentiment towards saving declines in April

A new index aimed at gauging Irish consumers' sentiment towards saving was launched today with its first results showing a seven-point overall decline.

The new monthly Irish Savings Index was drawn up by building society Nationwide UK (Ireland) in partnership with the Economic and Social Research Institute (ESRI).

The index is based on consumer research and consists of a number of different indices including an Overall Savings Index, an Importance of Saving Index, and a Savings Environment Index. The Index uses January – March of 2010 as a base.

The first Savings Index shows a 7 point decline overall, driven by a decrease in the number of people saving regularly from 44 % in March to 41 % in April and an increase in the percentage of people not saving at all from 23 % to 26 % in the same period.

Irish consumers have also expressed negative sentiment about the amount they are able to save at present due to the prevailing economic conditions. This is illustrated by the fact that the number of people who think that the current economic conditions represent a good time to save decreased from 34 % in March to 31 % in April.