NEWS30 June 2017

Post-election fall in consumer confidence

Brexit News Retail UK

UK – Consumer confidence has fallen five points (to -10 ), the lowest it’s been since the immediate aftermath of the Referendum when it fell to -12, according to the latest GfK Consumer Confidence Index.

Consumers_shopping outside_crop

All five constituent measures: personal finance – both in the past 12 months and looking forward 12 months; the general economy; major purchases; and savings have decreased in June 2017, covering the period both pre and post the general election.

Joe Staton, head of market dynamics at GfK, said: "The scores on the general economic situation looking forward and back 12 months are now particularly weak. All this concern will worry the UK’s retailers, with this month’s plunge in the Major Purchase Index (down eight points) reflecting our increased caution over non-food spending and our softening appetite for debt.

"Strong consumer spending has propped up the economy since last June but now the twin pressures of higher prices and sluggish wage growth are squeezing household finances and adding to widespread fears of a Brexit-induced economic slowdown."