Official figures show that consumer spending remained weak in March, with little change in the volume of retail sales.
The Central Statistics Office said the volume of sales rose by 0.1% compared with February, but this meant March sales were 1.7% lower compared with the same month last year.
Many economists prefer to watch the figure excluding motor sales, as these have been boosted over the past year by the scrappage scheme.
When motor sales were stripped out, there was an increase of 0.1% in March, but an annual fall of 3.5%.
Provisional figures for the first three months of the year also show little change, with the volume of sales up just 0.6% compared with the same period last year.
Figures from retail group Retail Excellence Ireland yesterday said sales levels in the first quarter of this year were down an average of 3% from a year earlier.
A breakdown of the March figures from the CSO showed that sales of hardware, paints and glass rose by 4.9% during the month, while clothes sales were up 2% and food up 1.2%.
But fuel sales dropped by 2.2% and bar sales fell 1.4%.
Bar sales have now fallen by almost 10% in the past 12 months, while fuel sales are down 12.6%. Motor sales rose by 1.1% in the month, giving an annual increase of 8.7%.
Reacting to the figures, the Irish Small & Medium Enterprises Association said the retail sector remains in a 'distressed' state.
‘The current trend in sales, together with the high costs imposed on retailers is unsustainable, with the resultant closure of shops and subsequent job losses,’ said ISME chief executive Mark Fielding.
