Consumer confidence edges up in December
Consumer confidence has edged up in December although people are still feeling cautious about making major purchases in the run-up to Christmas.
GfK’s long-standing Consumer Confidence Index has risen by one point to -17.
While the measure for expectations for the general economic situation over the next 12 months is unchanged from November at -26, the forecast for personal finances over the same period is up two points at +1, which is three points higher than this time last year.
Meanwhile, GfK’s major purchase index has remained at -16; this is seven points higher than December 2024.
Neil Bellamy, consumer insights director, NIQ GfK, said: “Consumer confidence is still far from strong but there is some room for optimism with views on personal finances over the next 12 months up two points versus November and creeping back into positive territory.
“However, with the major purchase measure unchanged at -16 in December, consumers are still thinking twice about big-ticket purchases and whether they will bring Christmas cheer.
“Significantly, views on the economy are unchanged from November (-39 over the last 12 months; -26 for the next 12 months) which suggests people don’t know where we are going.
“We will need to see robust improvements in these perceptions of the economy before we can start talking about sustained improvements in the consumer mood.
“In a nutshell, it’s the continuing uncharitable view on the UK’s general economic situation that’s suppressing consumer confidence.”
