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Consumer sentiment towards economy biggest fall in over a decade

A SURVEY measuring consumer sentiment about the future of the economy has recorded its biggest monthly slump in over a decade.

The survey, compiled by the ESRI and KBC Bank, fell to 49.2 in December from 60.1 in November.

KBC economist Austin Hughes said consumers are “very nervous” about the economy in general and their finances.

And he put the huge drop down to the “frenzied” discussions about the future of the euro and December’s budget.

While all areas of the index fell, the biggest decline was in consumer expectations about the economy over the next year.

Mr Hughes added there have been unusually big swings in the survey over the past month reflecting uncertainty.