Consumer confidence continues to move up in May
UK consumer confidence has continued to edge up this month as people feel more positive about their personal finances.
GfK’s long-standing Consumer Confidence Index has shown a two-point improvement in May to -17.
While the measure for expectations for the general economic situation over the next 12 months has increased by four points to -17, the forecast for personal finances is up five points at +7, which is 15 points higher than this time last year.
However, GfK’s major purchase index has declined by one point to -26.
Joe Staton, client strategy director GfK, said: “There was another strong showing for the UK Consumer Confidence Index this month, driven by a jump in the outlook for our personal finances (up five) and a boost for our view on the wider economy in the coming year (up four).
The only negative in May is the slight dip in our major purchase measure (down one point to -26), reinforcing the fact that the cost-of-living crisis is still a day-to-day reality for all of us.
“However, with the latest drop in headline inflation and the prospect of interest rate cuts in due course, the trend is certainly positive after a long period of stasis which has seen the Overall Index Score stuck in the doldrums.
“All in all, consumers are clearly sensing that conditions are improving. This good result anticipates further growth in confidence in the months to come.”
