Consumer self-confidence stayed reduced in December amidst the “continuing uncharitable view on the UK’s general economic situation”, a study recommends.
GfK’s long-running Consumer Confidence Index boosted by one indicate minus 17 in December as projections for individual funds relocated right into favorable numbers at one– 3 factors more than this moment in 2015.
However assumptions for the basic economic climate over the following one year stayed unmodified at minus 26– one factor even worse than last December– recommending “people don’t know where we are going”, GfK stated.
The Major Purchase Index, a sign of self-confidence in getting huge ticket products, additionally stayed unmodified at minus 16, although this is 7 factors more than a year earlier.
Neil Bellamy, customer understandings supervisor at GfK, stated: “Consumer confidence is still far from strong but there is some room for optimism with views on personal finances over the next 12 months up two points versus November and creeping back into positive territory.
“However, with the major purchase measure unchanged at minus 16 in December, consumers are still thinking twice about big-ticket purchases and whether they will bring Christmas cheer.
“We will need to see robust improvements in these perceptions of the economy before we can start talking about sustained improvements in the consumer mood.
“In a nutshell, it’s the continuing uncharitable view on the UK’s general economic situation that’s suppressing consumer confidence.”
Mr Bellamy included: “Overall, 2024 has been another year of ups and downs in consumer confidence but much less so compared with recent years.
“In 2024, there was an eight-point difference between the highest and lowest score. In 2023, it was a difference of 23 points, and in 2022 it was 30 points. So volatility is down but will it stay that way?”
