School's out: Teenagers kick-off summer by spending big

Older age groups saw a decline in spending during June, new figures show

With schools out, spending by teenagers increased by a 23% in June compared to May.

Spending on debit and credit cards was buoyed by teenagers during the month of June, recording the largest increase among all demographics, new data from Bank of Ireland’s Spending Pulse shows.

According to the figures, spending in June dropped 6% compared to May and by 4% compared to June 2022. Bank of Ireland said June was a “subdued month” which is following a similar trend to last year. 

Unburdened by school, people aged 13 to 17 recorded a 23% increase in the amount they spent during June compared to May. They were alone among the demographics to record a summer splurge in spending so far.

Those aged 66 and older saw a decline of 8%. Spending among those aged 56 to 65 years-old declined 7%, while people aged 36 to 45 saw a 6% decline.

Bank of Ireland said these groups perhaps kept a tight hold on their purse strings until later in the summer.

Jilly Clarkin, head of customer journeys at Bank of Ireland, said while spending on groceries, clothes and at pharmacies were all down in June — by 7%, 6% and 4% respectively — indicating many people restricted their expenditure, “it was no surprise to see teenagers leading the way in the spending stakes given schools started to close”.

Ms Clarkin said July and August are “normally busy months” with all schools closed and children at summer camps.

“People will also leave the country and spend abroad so, based on last summer, we may not see a big spike in overall spending next month either. However, July last year saw an uplift in social spending, so hopefully, some sectors see a boost in spending next month,” she said.

Spending on social activities fell by 5% with fast-food purchases dipping by 5%, pub spending falling by 4% and outlay in restaurants declining by 1%, compared to May. Bucking the trend, spending in cinemas increased by 11%. 

Bank of Ireland noted a social spending pattern for June was emerging within the Spending Pulse, with outlay in this sector very similar to June 2022, in contrast to May 2023 figures, which painted a much more positive spending picture across sectors.

Not a single county recorded a positive spend in June compared to May, with counties such as Dublin dropping 7%, Mayo, Monaghan, Kerry all down 6%, and Donegal down 4%.

Not surprisingly, many people had gone abroad in June, with spending increasing in Croatia by a massive 71%, while Greece saw a 55% increase, and Italy a 32% increase.

Portugal and Spain also recorded big increases by 22% and 13% respectively.

Back home, spending on tourism activities rose by 19%, while spending on car rentals went up 12%.