Consumer confidence falls in November
New figures have revealed that consumer confidence has fallen in November as people worry about what will happen with their personal finances in the year ahead.
GfK’s long running Consumer Confidence Index has declined by two points this month to -33.
Joe Staton, client strategy director GfK, said: “In our post-lockdown pre-vaccine index this month we report another deterioration in headline consumer confidence to -33, a drop of two points.
“Although there is no movement in our views on the economy, people are clearly losing their nerve regarding their personal finances with scores for the last 12 months and the year to come sharply down by seven points and five points respectively.
“This will deal a blow to any future rebound because bullish consumer spending fuels the UK economy and low confidence is the enemy of recovery.
GfK’s major purchase index has fallen by one point to -28 in the month while the index measuring people’s expectations for their personal finances in the next 12 months has dropped by five points to -5. Meanwhile, the index for expectations for the general economic situation over the next 12 months has remained the same as last month at -50.
Staton added: “The second lockdown couldn’t have come at a worse time for the UK’s high-street retailers and it’s no surprise that our major purchase sub-measure is once again mired deep in negative territory. On all fronts, economic headwinds still outnumber tailwinds sadly and consumers can be excused for showing little in the way of Christmas cheer.”
Photo by Georgia Hawkins
