Consumer confidence shows ‘modest improvement’ in December
The Overall Index Score increased two points to -22 in December, plus all five measures were up in comparison with last month.
General Economic Situation over the last 12 months improved by five points compared with November to -44, while the Major Purchase Index went up by one point from -24 in November.
Personal Financial Situation over the last 12 months has shown improvements too, up two points from -16 last month.
Joe Staton, client strategy director at GfK, said: “Against the backdrop of flatlining economic growth, interest rates at a 15-year high, and price rises potentially eroding disposable income for years to come, the Consumer Confidence Index shows a modest improvement this month with gains across all key measures.
“Although the headline figure of -22 means the nation’s confidence is still firmly in negative territory, optimism for our personal finances for the next 12 months shows a notable recovery from the depressed -29 reported this time last year. Recovery in this number is important as it best reflects household financial optimism and control over personal budgets.
“Despite the severe cost-of-living crisis still impacting most households, this slow but persistent movement towards positive territory for the personal finance measure looking ahead is an encouraging sign for the year to come.”