DUBLIN, Jan 29 Reuters Irish consumer sentiment posted its largest monthly improvement in three years in January as falling energy and grocery prices eased costofliving concerns, a survey showed on Monday.

The Credit Union Consumer Sentiment index rose to 74.2 in January from 62.4 in December. That is just short of the 77 registered in February 2022 before Russia39;s invasion of Ukraine, and far ahead of a 14year low of 42.1 hit in September 2022 amid a costofliving crunch.

The sharp improvement … suggests many consumers expect an easing in costofliving pressures and some increase in their incomes in the year ahead, said David Malone, Chief Executive of the Irish League of Credit Unions.

While this would mark a clear break from difficulties of recent years, the details of the survey suggest consumers are understandably cautious in their outlook and their spending plans, he added.

The sentiment reading remains significantly below the survey39;s 28year average of 84.7.

Writing by Conor Humphries; Editing by Sachin Ravikumar

Source Reuters