Northern Ireland Consumer Sentiment drops to lowest level in three years

Posted on: 02 Jun 2026

Findings from the latest quarterly Credit Union Northern Ireland Consumer Sentiment Survey (in partnership with Core Research) show a sharp but unsurprising fall in Northern Ireland consumer confidence between February and May 2026 to its lowest in three years. All five components of the Credit Union Consumer Sentiment Survey for Northern Ireland were materially lower in May than three months earlier.


The primary issue for Northern Ireland consumers was increased concerns around household finances centred on substantial increases in energy costs, which has led to a pull-back in buying plans. Furthermore, concerns about a weaker economic outlook and a knock-on impact on jobs also contributed to the poorer consumer sentiment in Northern Ireland of late.

While there has been a significant drop in Northern Ireland consumer sentiment, it was slightly less pronounced than the decrease in consumer confidence in the US, UK or the average decline recorded across the European union between February and May. As such, it seems that the bulk of the weakening in Northern Ireland consumer sentiment can be attributed to the war in the Middle East and to the marked increase in global energy costs.

However, the drop in consumer sentiment in the Republic of Ireland was notably less pronounced as it showed a significant if not total recovery in May from the sharp fall seen through March and April. That uplift likely reflects a range of offsetting support measures undertaken by the Irish Government.

The Northern Ireland research also included the annual question for consumers, asking how they would cope with an unexpected financial emergency of £750. The results show that three in five consumers could handle a financial emergency reasonably comfortably, either by drawing down savings or from current income (47% and 15% respectively). Comparisons to May 2025, 2024, and 2023 are available in the accompanying research note.

Overall key findings of the quarter to May 2026 for Northern Ireland are listed below:

• 62% believe the economy will weaken over the next 12 months (up from 53% in February 2026) while 20% believe it will improve (up from 19% in February 2026).

• 53% believe that unemployment will rise over the next 12 months (up from 44% in February 2026). 24% believe it will fall in the next 12 months (up from 23% in February 2026).

• 46% believe the financial situation of their household is worse now than 12 months ago (up from 40% in February 2026), while 21% believe it has improved (versus 25% in February 2026).

• 24% feel the financial situation of their household will improve over the next 12 months (down from 27% recorded in February 2026), while 42% believe it will weaken (up from 34% in February 2026).

• 14% of Northern Ireland consumers believe now is a good time to buy big ticket items (the same as 14% February 2026) and 24% believe it is a bad time (versus 19% in February 2026).

• How would your household deal with an unexpected financial emergency costing £750? Selected findings listed below.

  • 12% would not be able to pay right now

  • 47% would use savings

  • 15% would use available cash

  • 8% would put in on a credit card

 
Speaking on the release of the May data and analysis, Martin Fisher, Head of Northern Ireland with the Irish League of Credit Unions noted; “The survey highlights the real pressures facing many households across Northern Ireland. Rising energy costs and wider economic uncertainty are weighing on finances and dampening confidence.

“In these uncertain times, credit unions play an important role in supporting members and communities. By providing affordable financial services, practical lending supports and help with saving and budgeting, they are on hand to help ordinary people to manage everyday pressures and prepare for unexpected costs.”

Austin Hughes, economist, who prepared the analysis noted; “The overall mood of consumers in Northern Ireland is reflective of broader and increasingly threatening trends impacting economies right around the world. In part, this stems from the potentially dramatic economic fallout from war in the middle east.

“More immediately, it reflects the fact that notably greater pressure now building on household finances comes at a time when increased living costs were already causing significant strains for many Northern Ireland consumers.”

Further detail of the findings and factors contained in the latest quarterly index are detailed in the accompanying analysis.

Ends.

 
About the Northern Ireland Credit Union Consumer Sentiment Survey
The Northern Ireland Credit Union Consumer Sentiment Survey is a quarterly survey of a representative sample of 350 adults. Core Research undertake the survey administration and data collection for the survey. This tranche of the survey was live between the 1^st and 7^th May 2025.