Retail sales declined by 0.9 per cent last month compared to August and by 0.3 per cent annually, according to new figures from the Central Statistics Office (CSO).
If motor trade sales are excluded from the figures, the volume of sales declined by 0.8 per cent on a monthly basis and were down by 2.5 per cent compared to the same month last year.
The biggest increases recorded in the year were in motors, which was up 13.2 per cent and in non-specialised stores, which rose 0.8 per cent. The biggest decreases were in the other retail segment, which was down 12.4 per cent and in bars, down 11.6 per cent.
Month-on-month declines were evident in ten categories with only three showing rises in sales.
The value of retail sales decreased by 1.2 per cent from August to September and by 2.6 per cent last month when compared to September 2009.
If motor trade sales are excluded, there was a monthly decrease of 0.9 per cent and an annual decline of 4.1 per cent.
Provisional estimates for the third quarter show the volume of retail sales was unchanged when compared to the previous three months but were up by 0.2 per cent as against the same quarter a year earlier.
If motor trade sales are excluded from the figures, the volume of retail sales decreased by 2.3 per cent year-on-year.
Davy analyst Aidan Corcoran said the decline in sales was "disappointing but hardly surprising" given the concern regarding the short-term economic outlook.
Ulster Bank economist Lynsey Clemenger said the latest figures show that the overall pciture remains one of clear weakness.
"The consumer remains under a lot of pressure, with the weak state of the labour market playing a big role here. And while we have seen some easing in the rate of deterioration of the jobs market in recent quarters, it is difficult to see any reason why consumer spending will end 2010 on a strong footing," she said.
"Indeed, the pending fiscal tightening in Budget 2011 in early-December, and the uncertainty around the form/degree of such tightening in the run up to then, looks set to keep consumer spending subdued over the remainder of the year and into next," Ms Clemenger added.
