NEWS20 December 2019

Pre-Christmas boost to consumer confidence

Brexit News Retail Trends UK

UK – Optimism for the economy has increased for the year ahead, according to the GfK Consumer Confidence Index. 

Oxford Street, London

The overall index increased by three points for December to -11, although it remained firmly in negative territory, as it has done for four years due to ongoing uncertainty surrounding Brexit.  

Expectations for the country’s general economic situation over the next 12 months increased seven points to -27 – this is 11 points higher than December 2018. 

The forecast for personal finances has also increased – the December score is up two points to +3 – as did the Major Purchase Index, which tracks whether people think it is a good time to be spending money on expensive items.

Interviewing for the monthly barometer was conducted before the general election, between 2nd and 11th December.

Joe Staton, client strategy director at GfK, said: “There’s a clear sense of a change in consumer sentiment this month. The picture for the year to come is much stronger with a two-point improvement in how consumers view their personal financial prospects and a very healthy seven-point jump on how they see the wider economy next year.”

Staton added the index indicates “a rebound in confidence in 2020 based on renewed optimism and energy for a post-Brexit Britain”.

The UK Consumer Confidence Barometer survey is conducted by GfK on behalf of the European Commission.