The Central Bank of Ireland has published its latest quarterly bulletin showing that household debt as a proportion of disposable income has fallen by 79.2 percentage points since its peak in Q3 2011.

The latest statistics also show:

  • Irish household debt as a proportion of disposable income fell by 9.7 percentage points over the year to Q1 2018, the largest decline amongst EU countries.
  • Household debt as a proportion of disposable income has fallen by 79.2 percentage points since its peak in Q3 2011.
  • Household net worth increased by 0.9 per cent to reach €732bn in Q1 2018. Household net worth per capita now stands at €150,768.
  • NFC debt as a percentage of GDP continued to fall during Q1 2018. NFC debt fell by €24.8bn, largely due to a decrease in NFC loan liabilities. NFC debt-to-GDP has decreased by 131.7 percentage points since its peak of 326.5 per cent in Q1 2015.

Mark Cassidy, Director of Economics and Statistics at the Central Bank of Ireland, said: “The continued rise in household net worth to its highest level to date largely reflects an increase in residential house prices, with the value of housing assets up €9.6bn in Q1 2018. This results in the striking figure of a 70.2% increase in household net worth since its lowest level of €430.2bn in Q2 2012. However, today’s figures also show that household debt, a key indicator of the economy’s resilience to any potential future shocks, remained largely unchanged during Q1 2018 and Irish households continue to be the fourth most indebted in the European Union”.