Consumer confidence continues on upward trend

Consumer confidence in the UK has improved for the third month in a row, states a new report, with data suggesting that people are becoming more positive about the economy after a difficult few years.

Despite the uncertainty caused by the general election, GfK’s Consumer Confidence Index increased three points to -14 in June. Three measures were up, one was down, and one was unchanged in comparison to last month’s announcement.

The improvement was bolstered by consumers’ more sympathetic view of the economy for the last year and the 12 months to come.

Joe Staton, Client Strategy Director GfK, commented, “Those measures on the economy registered sharp increases of seven points and six points respectively, and there was a welcome three-point boost in intentions to make major purchases.”

He added, “While June’s reading of -14 is the third month in a row that confidence has increased, the headline score remains negative owing to the difficulties so many have experienced as the unrelenting cost-of-living crisis batters household budgets.

"Nevertheless, consumer confidence continues its robust long-term upward trend this month, and has recovered significantly since the record low of -49 reached in September 2022.

"Consumers like financial certainty, and this has to be the cornerstone if we are to see confidence break out into positive territory.”