Consumer spending rose 2% in October compared to September, driven by an uptick in social spending in pubs and restaurants, according to the latest Bank of Ireland debit and credit spending statistics.

The uptick in spending last month, driven by retail (+7%) and social spending (+5%), compared to a 3% drop during the same period last year.

Social spending took a significant hit in September but surged in October, with pub spending up 12%, fast food purchases increasing 9%, and restaurants seeing a 2% increase following a 22% decline in September.

In the retail sector, purchases of both groceries (+8%) and clothing (+14%) increased significantly while while things also improved for pharmacies (+8%) and household appliances (+6%).

Spending in cinemas rose 44% during what was a very wet month, with Bank of Ireland also crediting that on the release of The Banshees of Inisherin, but there was just a 3% increase in utility spending, perhaps reflecting the relatively mild temperatures.

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"To see both the retail and social sectors perform strongly in October is a positive sign, and total spending held up well following a dip in September and when compared to last year," said Jilly Clarkin, head of customer journeys and SME markets at Bank of Ireland.

"A notable surge in cinema spend may be linked to the release of The Banshees of Inisherin last month, which had people flocking to the big screen."

There were spending increases in a number of counties, including Cavan (+9%), Roscommon (+6%), Meath (+4%), Mayo (+4%), Limerick (+3%) and Donegal (+3%), after spending declines were registered in 26 counties last month.

Airline spending dipped by 3% in October, however, resulting in card transactions declining in countries such as Greece (-51%), Italy (-41%), Portugal (-30%) and Spain (-19%).

"It’s worth noting that younger consumers are driving this spending, with 26 – 35-year-olds recording a 7% spike in October, followed by the 36 – 45 age cohort who’s spending rose by 5%," Clarkin said.

"This contrasts with 56 – 65-year old’s where spending dipped by 2% and over-65’s where spending was flat for the month.

"We are now entering a busy time of year for retail and social spending, so it will be interesting to see if the next few months deliver more spending momentum.” 

(Pic: Getty Images)