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Dublin: 10 °C Wednesday 22 May, 2013

Irish households’ disposable incomes rose slightly in third quarter

New CSO figures show that the increase in disposable income, combined with only modest spending, increased general savings.

Image: Piggy bank photo via Shutterstock

THE TOTAL AMOUNT of disposable income held by Irish households rose slightly in the third quarter of 2012, compared to the second quarter, new data published today shows.

The CSO’s quarterly institutional accounts show that Irish households had a total of just over €23 billion in disposable income in the months July, August and September – slightly up on the €22.515 billion from the three previous months.

Consumption spending also increased, but by only a modest €64 million, to €19.319 billion – meaning the increase in disposable income contributed to a net increase in gross saving.

Households saved €3.684 billion in the third quarter, compared to €3.261 billion in the second – a rise of just under 13 per cent.

The CSO release also reveals that the government’s own savings deficit stood at €4.364 billion at the end of September, but that government net borrowing had fallen by over half within the space of a year.

While the government had borrowed €10.365 billion in the third quarter of 2011, largely in order to fund the recapitalisation of the banking sector, borrowings had fallen to €4.953 billion in the equivalent period in 2012.

The rest of the world borrowed a net total of €3.034 billion from Ireland in the third quarter, largely as a result of the increased household savings which made it easier for Irish banks and deposit institutions to lend to overseas partners.

Read: Saving index falls to record low with 48 per cent not saving at all

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Comments (40 Comments)

  • so we’re saving more but 48% of us ain’t saving anything. the gap between the middle and the rich most be getting wider and thats before we take account to the budget.

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  • They must be talking about every cent they take from us… I have nothing to save after all the taxes and mortgage

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  • Wait till the Troika hear this……= sure twill be grand they’ve loads a more money we can screw the over for…….where do these people get their stats…….I’m sure alot of people would agree they have less disposable income what with all this austerity / tax increases!!!!!!!!!

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  • What is this disposable income you speak of???

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    • Disposable Income?????? Is that the money i’ve just found down the back of the sofa, Well i’m going to dispose of it in the shop to by bread to make sandwiches for the kids lunch tomorrow. Welcome to the real world.

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  • Not in my household did the disposable income increase slightly. Not at all in fact.

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  • Same as… Disposable income???? Who are they fooling? Don’t have any and wont for a long long time it seems…

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  • Paying more tax with less income. Quoted rise in disposable income Must be a CSO figures for the FG/LAB TD’s.

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  • Mine certainly didn’t. So I’d love to know how they worked that out.

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  • Maybe the data are taken from a survey of those within the CSO?

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  • They must have put the piggyback on to a higher shelf that’s the rise they are talking about

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  • They were talking about politicians and from management upwards, the rest of us are poor!

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  • MVM 14/01/13 #

    No it didn’t

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    • what didn’t it do?

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    • Agreed. I am worse off financially this year, not better.

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    • I found a 50 cent coin in an old pair of jeans…so mine went up 10%. roll on the good times..

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    • ur right 35000 isn’t a bad wages it ain’t a great one either I’ve been working 15 years have the same bills as anybody’s I’ve taken two pay cuts wife lost her job it’s shouldn’t be about people on average and below wages fighting against each other for it is us how taken more than are share of the pain. I’m not saying that I don’t have more to give but it’s can’t be money and I’m not defending public servants on 60000 getting pay rises.we need to start been fair to each other.

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    • MVM 14/01/13 #

      I know what you mean,Sadly it is not always the case as long as someone is earning good money they sometimes dismiss the less fortunate or turn a blind eye.
      The only way anything will ever change is of we can get in a decent government not driven by 200k a year which is more than Obama gets

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    • MVM- do you never tire of trotting out that rhetoric? You would have our Taoiseach on minimum wage, would you? He’s the Chief Executive of Ireland plc and irrespective of which party he’s from, he deserves a wage commensurate with such a position. Your analogy comparing him to other world leaders is fundamentally flawed. An American President is set for life after leaving office- as is a British Prime Minister through book deals, speaker circuits etc. That’s built into their wage. It’s patently not the case with a Taoiseach. But you know that- but why let the truth get in the way of populist ranting, eh?

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    • MVM 14/01/13 #

      @vincent,enda Isin worth half the minimum wage,
      Bahahaha you really believe he won’t be sorted for life they all are,ah how you swallow the rubbish they spew

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    • @ Vincent he is the third highest paid prime minister in the EU. Why?

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  • Phil 15/01/13 #

    This is a funny ol country we live in.

    Hardly any tax charged to some of the biggest companies on the planet based here in ireland.
    Bailing out the banks for the trouble banks got us into.
    Kicking ppl out of their own homes so the very own banks we are bailing out can take them.
    After the above to then put hefty taxes on the vulnerable under “austerity”
    Selling out out own natural resources also for the above.
    Tax breaks for the lines of business the particular politician has the vested interest in (tax free horse racing industry to name just one).
    Electing in the most idiotic party with what seems like not even one of them can think for themselves and have not improved the country one bit since taking over.
    Politicians being one of the highest paid on the planet.
    Doctors paid one if the highest on the planet while we have one of the worst health systems for a 1st world country.

    And all this while we sit their watching coronation st. moaning about the state the countries in during the add break.

    Get out in your droves people, join groups, march against this. We are once again fighting for our freedom, get out, join a group and show this country that were not taking anymore crap.

    Do some research as to why we are in this mess. It wasn’t us spending more than our means, it was the banks and the media and politicians making us all think we had to get huge credit and buy a new house under a hugely engineered price fixed by the globalists above.

    It’s time for a real change.

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  • Absolute crap !! People have nothing in Ireland now except for the elite

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    • Yeah. The famine’s back, Ken.

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    • The “thumbs down” must have come from that very sector of society i was referring to! I dont know any of my “middle class” circle who have a bob! Most are to the pin of their collar trying to get by and articles like this dont reflect the true position at all. A nation in economic ruin and the “path of least resistance”is expected to fund it all.

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  • Must be from all the public servants getting their increment payments!

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    • clum I’m a public service married with 2 kids take home 560 a week work bloody hard in the ID sector. with less staff and resources all the time it’s only going to get worst. so less of the silly jokes please.

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    • Nellie

      I work in the private sector. Have a 4 year degree. Have a wife & 3 kids. I take home less than you. I fund my own defined contribution pension, which means my pension is determined by the stock market, not like yours which is based on your final salery. Employee numbers where I work are down about 1/3 in the last 3 years. I have not had any increase of any kind in my take home pay in 5 years. No extra money even for the extra work I have had to take on just to keep my job.

      You think this is a joke? Would you like to swap jobs? Cause from where I’m sitting your are dong better than me.

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    • The private sector did fine during the boom a lot better than public servants in fact, people didn’t want to be in the public services when times were good and now they lash public workers out of it. People chose their own way in life .The problem is when we eventually get out of this recession and things pick up the private sector wages will fly up again and public works will be forgotten about.

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    • MVM 14/01/13 #

      I know a girl working for the hse on flexi time or in other words when ever she feels like working if she needs a day off she just stays in a bit longer to clock out and builds up time..
      Actually heard her moan she can’t get anyone to clock her out anymore because they have a CCTV camera over the clock station, for fu*k sake this is why the country is in a state any other career is 9-5 Mon-Fri

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    • I’ve taking two pay cuts.havnt got any rise since at 35000 I’m at top of my pay scale pay about 13% into a pension that won’t amount to much when I get to retire in 30 odd years.I’ve been hot kicked bitten in the last year I when to college too.
      this shouldn’t be about a race to the bottom.

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    • Bankers’ pay has risen about 11% in the last 3 years and TDs now have a larger expenses account seeing as they now have to account for all their expenses. But hey, you two tear strips off each other. It’s not like the government want private and public sector fighting against one another while they strip the country of its income now is it?

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    • MVM 14/01/13 #

      @nellie,35k is 670odd euro a week that’s not exactly a bad weekly wage compared to some on 360 on minimum wage..

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    • Well said Mark, they have people fighting over public sector private sector and who paid the household charge, meanwhile they borrow billions to pay themselves bankers and bond holders .

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    • Well did you EVER apply for a job in public service before the moratorium? Did you? God you would think that anyone with a desire to live like a king would have applied for such jobs the minute they left school or college ! Eah not so.. Virtually no school or college graduates wanted work in the public sector because the pay was so bad. Thats the public sector sector is so hard done by doesnt give anyone in PS any joy. Pity the sentiment isnt reciprocated

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  • If you were a tourist strolling around the streets of Dublin city centre last Friday and Saturday night you would be forgiven for thinking that the country is awash with cash

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  • Maybe a lot of people don’t understand how these things work… They’re not saying everybody is better off now so comments like “no” and stating how your worse off now than time x is ridiculous

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  • The reality is in the data. So whether we’re talking about Bank Deposits or the CSO analysis on disposable income the accuracy of the information is unlikely to be challenged.
    When the Property tax take for a half or even a full year is seen against this backdrop we should not be surprised at its introduction.

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