A measure of the mood among consumers fell to a six-month low in February, according to figures this morning.
The IIB/ESRI consumer sentiment index dropped to 84.9 from 93.2 in January as a number of lay-off announcements appeared to increase concerns about job security.
IIB economist Austin Hughes said that while a drop had been anticipated, this month's fall had been much greater than expected.
The survey showed that almost 60% of consumers expect unemployment to rise this year, up from 41% in January.
Mr Hughes said the figures suggested that confidence was 'still reasonably fragile' and particularly sensitive to jobs news. He said these worries, plus higher inflation and interest rates, would continue to dampen sentiment in the coming months.
