According to GfK’s UK Consumer Confidence Index, consumer confidence in the UK fell by two points this month to -1.
Of the five measures used to work out the score, four saw decreases in September.
This follows the previous 9 year high achieved in June and August 2014.
Nick Moon, managing director for social research at GfK thought that the index was likely to stay around this level in the near future, as improvements in the economy are not appearing to help improve people’s living standards.
“Many people are not themselves feeling any better off despite the growth in GDP, and this may be tempering the impact of positive media coverage of the economy.”
Nick Moon – GfK
In relation the UK’s personal finance, the index measuring changes in consumer personal finances over the last 12 months decreased one point in September to -8 – which is eight points higher than the same period in September 2013.
GfK’s index for the UK’s general economic situation decreased by 3 points in September to -4. This works out as 21 points higher than in September 2013.
“The Consumer Confidence conundrum continues. In the same week that figures from ONS show that UK productivity is lower than every G7 country except Japan, the Consumer Confidence Barometer has taken another clear step upwards, gaining three points to -10. This is the highest the Index has been since November 2007, when the catastrophic fall prompted by the credit crisis was developing momentum. Back then the index fell a massive 35 points in a year (starting at – 4 in August 2007 and dropping to – 39 in July 2008), but it has now reversed all but six points of that fall.
The Index has gone up in each of the last five months and gained a total of 17 points, the biggest five-month gain since January 1993. Whether the current economic recovery is real or will prove to be a credit-fueled bubble, this continuing steady growth in confidence looks like good news for the Government.”
Main image: West Wickham High Street, Kent – 2014 – Photo by Carol @ Flickr.