The latest figures from the Central Statistics Office confirm the slowing Irish economy. It says the volume of retail sales decreased by 6.2% in September compared with the same time last year, while there was a monthly decrease of 0.5%.
The CSO also says that provisional figures show the volume of retail sales slowed by 5.6% in the third quarter of the year. It says this was the largest annual decline in the volume of quarterly retail sales since the second quarter of 1983.
It is also the third quarter in a row showing an annual decline.
Breaking down the figures, they show sharp falls in areas linked to housing - with furniture and lighting sales down almost 20% while sales of electrical goods slumped by 15.7% and hardware, paints and glass sales fell almost 12%.
Motor sales dropped another 7.4% in the month, while bar sales were down 2%. After increasing in August, sales at department stores declined by 1.4%.
Today's statistics also show that the value of retail sales fell by 3.8% in September of this year compared to September 2007. They increased by 0.6% in the month. The CSO says this is the sixth month in a row of declining values in retail sales.
In the months from June to August, the largest volume decrease was seen in the furniture and lighting sector, with sales slumping by 14.6%. Sales of textiles and clothing rose by 1.1% in the quarter.
Alan McQuaid, chief economist at Bloxham Stockbrokers, said the figures proved the Government had missed an opportunity to stimulate the economy with last month’s Budget
He said: 'All in all, the retail sales figures for the year to date are extremely disappointing, and suggest that the risks to GDP forecasts remain clearly to the downside, and all the more reason why the Government should have introduced fiscal stimulus measures in last month’s Budget.
'Instead, what we got was an income levy and increase in the standard rate of VAT, which will make Irish goods more expensive at a time when there is already a mass exodus from the Republic across the border to avail of cheaper prices in the North.
'This trend is set to increase in the run-up to Christmas, especially now as the euro is at record highs versus sterling with the British pound effectively at a level of almost 1.09 to the old Irish punt.'
