Ireland entered Q2 2026 with steady but cautious economic momentum. Recent data from the Central Statistics Office (CSO) indicate an economy balancing external challenges with underlying structural strengths. While economic growth remains steady, geopolitical uncertainty and softer consumer confidence have weighed on activity during the quarter. At the same time, technology-led sectors continue to demonstrate resilience along with wider professional services, helping to support overall economic performance.
April retail sales figures reflected a moderation in consumer spending. Retail sales volumes declined by 0.2% month-on-month and 0.5% year-on-year. Excluding motor trades, sales volumes fell 0.6% during the month but remained 0.4% higher than April 2025 levels. Retail sales values also eased by 0.4% in April, although they were still 1.0% above the previous year. (CSO Figures)
Performance varied significantly across retail categories. The largest monthly declines were recorded in Clothing, Footwear & Textiles (-2.9%), Fuel (-2.3%), Department Stores (-2.0%) and Electrical Goods (-2.0%). In contrast, growth was recorded in Books, Newspapers & Stationery (+4.6%), Food, Beverages & Tobacco in specialised stores (+3.9%), Pharmaceuticals, Medical & Cosmetic Articles (+3.6%) and Bars (+1.8%). (CSO, Retail Sales Index)
Despite some softening in consumer spending, retailers continue to benefit from stable employment levels and population growth. Consumers remain value-conscious and continue to favour retailers that offer convenience, strong brand propositions and experience-led formats. These trends are increasingly shaping leasing activity across the Irish retail market.
Occupier demand remained resilient throughout Q2 2026 despite softer consumer spending and broader economic uncertainty. Retailers continued to prioritise locations capable of delivering strong footfall, convenience and catchment penetration, with activity concentrated across grocery, value retail, food and beverage and sportswear sectors.
Retail Market Snapshots
Karl Stewart • 20/07/2026
More Insights
Research
Get the latest Ireland economic and retail market overview.
Karl Stewart • 20/07/2026
Research
European Logistics & Industrial Market Forecast
We anticipate that occupier activity will remain subdued over the remainder of 2023 and into early 2024 before rallying as businesses feel more optimistic. Availability will remain constrained as developers slow their speculative deliveries. Rental growth is expected to slow in 2024 and beyond but will remain in positive territory across European markets.
Brendan Smyth • 06/12/2023
Insights
Deal flow drops below levels seen during COVID pandemic. Activity in the development land segment was subdued in the first half of the year with approximately €130 million worth of transactions across 45 deals, down 67% from €390 million in the first half of 2022 and below levels seen during the height of the COVID pandemic in 2020.
Tom McCabe • 09/08/2023
