Fresh business news from Bank of Ireland points to a cautious Irish consumer in May, with total card spending down 3.6% year on year. For founders, SME Ireland operators, jobseekers and professionals tracking demand, the message is clear: households are still spending, but they are choosing carefully. That matters for Irish companies watching business growth, workplace culture shifts and changing customer priorities.
The latest Spending Pulse figures show a mixed pattern rather than a broad pullback. Consumers cut back in some discretionary areas, especially travel and clothing, but continued to spend on dining out, entertainment, digital subscriptions and selected retail categories.
Business news ireland: where spending held up
Some of the strongest gains came from areas linked to better weather, home life and everyday convenience.
- Florists rose 61.9%
- Landscaping services increased 55.9%
- Subscription services climbed 12.8%
- Electrical goods were up 11.8%
- Restaurants and bars rose 6.9%
- Entertainment increased 2.8%
That mix offers useful small business advice. Consumers still value experiences, home improvements and digital services, even while overall budgets remain under pressure. For Irish startups and local retailers, this is a reminder to focus on practical value, seasonal demand and products that feel worth the spend.
What softened in May
Not every sector shared in that resilience. Clothing spending fell 7.9%, while air travel dropped 6.4% and car rentals declined 6.7%. ATM withdrawals were down 7.3%, another sign that people are budgeting more tightly and relying less on cash.
Essentials were steady rather than strong. Grocery spending edged up 0.63%, while health spending was almost flat. Education and professional services posted modest gains, suggesting households are still willing to pay for needs, skills and support.
Quick questions for readers
What does this mean for SME Ireland businesses?
Demand is still there, but customers are prioritising value, convenience and experience.
What should founders watch next?
Summer staycation demand, digital subscriptions and local leisure spending could become important signals for business growth and startup funding conversations.
For anyone following business news ireland, the key takeaway is practical: consumers have not stopped spending, but they are becoming more selective. For Irish companies, entrepreneur tips now centre on pricing carefully, matching offers to real habits and staying close to what customers see as essential, enjoyable or useful.
