The Ibec group representing the retail trade - Retail Ireland - says the vote by Britain to leave the EU has resulted in added pressure on retailers due to sterling's rapid decline and that there is some evidence of consumer unease.
However, the Consumer Market Monitor from the Smurfit Business School and the Marketing Institute finds that consumer confidence remains strong and spending increases were apparent across virtually all sectors in the first six months of the year.
Mary Lambkin, Professor of Marketing at the Smurfit Business School, said it was mainly good news from the most recent monitor.
"The major figure is the amount of disposable income. That measure had been falling or was flat for 5 or 6 years. It increased by 5% last year and by 6% in the first half of this year. That makes an enormous difference to the economy," she said.
The report does point to some imbalance in the property sector, however, where sales are down this year.
"Across every category, everything is up by 5% or so, certainly in the case of general retailing. However, when it comes to the number of property transactions, it's the reverse - that measure fell by 5%.
"All the evidence suggests there is very strong demand in the economy after years of pent up need for so many years. It's very odd that there's one category, a big ticket item, that's going down. It suggests an imbalance in the economy," she said.
Mary Lambkin said there was no discernible Brexit impact on consumer confidence so far.
"There was a tiny falter in some monthly consumer confidence monitors which shows people are a little uneasy. But it's been nothing like the 8 point drop in confidence in the UK in the days after Brexit. That was the biggest fall in 20 years."
She said she wasn't so concerned about the cross border effect following the rapid fall in the value of sterling.
"Many retailers are buying at a lower cost from the UK and should be able to pass that onto consumers. That should counteract any effect of people going over the border," she concluded.
MORNING BRIEFS:
The week ahead should provide some clarity as to how the British economy is actually looking post-Brexit.
A range of indicators are due out from inflation figures to retail sales and the exchequer returns.
Tomorrow's inflation report should give some insights into how fast the pound's 12% decline since the vote is driving up consumer prices.
The drop in sterling makes imports more expensive and that is feeding through already into items like phones and cars.
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One area where consumers will welcome a fall in prices is in the London rental market.
Figures from estate agents Countrywide indicate that rents on London homes dropped by half a percent in July from a year earlier.
The actual decline is modest - about £7 a month - bringing the average rent to £1,280.
However, it is the first drop in rents in six years and is causing some to sound the alarm bells already over the city's competitiveness.
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