Consumer confidence in the UK is visibly on an upward trajectory, marking its third consecutive rise since a notable slump in March, buoyed by renewed hope for the nation’s economic prospects, as indicated by new findings.
The survey in question saw GfK’s widely respected Consumer Confidence Index ascend by three notches in June, slowly but steadily retracing its path away from pessimistic depths to reach minus 14.
This upturn is primarily attributed to significant strides of seven points towards optimism regarding the general economic situation over the past year, which now stands at minus 32. Moreover, there has been a robust six-point surge in the public’s economic anticipations for the subsequent year, finishing at minus 11.
Also of note, the Major Purchase Index, signaling consumer readiness to invest in significant items, climbed three steps to minus 23, marginally outperforming its position compared to the same period the previous year by two points.
In contrast, projections for personal financial conditions over the next year declined by three points, albeit sustaining a positive level of four, which nevertheless showcases a five-point year-on-year improvement.
Reflecting on these trends, Joe Staton, the client strategy director at GfK, commented: “Once again we have an improved reading for the overall index score with June showing a three-point improvement bolstered by consumers’ more sympathetic view of the economy for the last year and the 12 months to come.”
Staton continued, elucidating that despite the uptick for three months running leading to a current sentiment score of minus 14, the persistently negative overarching index underscores the tangible challenges inflicted by an uncompromising cost-of-living crisis that continues to pressure household finances.