Irish Households Saved €6.6 Billion in Q1 2026, Averaging 12.5%

Irish households saved €6.6 billion, or €1 in every €8 of disposable income, during the first three months of 2026, according to the Central Statistics Office (CSO). This represents a saving rate of 12.5%, up from 11.7% in Q4 2025 and near the 12.7% average since early 2023.

Noel Freeley, CEO of Royal London Ireland, noted that while Irish households show a strong ability to save, bridging the gap between saving and building long-term wealth remains a significant financial challenge. Mark Manto, a CSO statistician, attributed the rise in the saving rate to a 2% increase in household disposable income compared to a 1.1% rise in consumption from late 2025.

Households spent €41 billion on goods and services in Q1 2026, a 4.5% decrease from the previous quarter, largely due to seasonal spending patterns. Tánaiste and Minister for Finance, Simon Harris, plans to introduce tax-efficient savings and investment accounts in the next budget to encourage movement of the €170 billion currently held in low-interest bank deposits. Freeley highlighted that Irish savers hold €171.3 billion in deposit accounts earning minimal interest, suggesting billions could be released by more active engagement with investment markets.

An Ibec survey revealed only 16% of Irish adults invest in shares, despite Ireland having high saving rates. Sarah McGurrin, head of employee benefits at NFP Ireland, emphasized the importance of careful financial management amid rising costs and changing interest rates, following the ECB's decision to increase rates.