Unsurprisingly, consumer confidence fell this month as concerns grew around food price rises, increased taxes, and interest rate hikes.
GfK’s Consumer Confidence Index dropped seven points to -26, which is the lowest headline score since January 2021 when the UK was at one of the worst points in the Covid crisis.
All measures were down in comparison to the reading last month.
Joe Staton, Client Strategy Director at GfK, commented: “There’s clear anxiety in these findings as many consumers worry about balancing the household books at the end of the month without going further into debt. Slowing consumer spend slows the wheels of the UK economy so this is unwelcome news. And the good news on the easing or lifting of Covid restrictions around the UK seems to be doing little to lift the public’s mood.”
NAM Implications:
- Anyone emerging outdoors can experience this consumer sentiment on any shopping trip.
- People are afraid to buy…
- …and have lots of reasons to be careful.
- Meanwhile, in terms of ‘positive’, think super-savvy consumer…
- …unwilling to settle for anything less than demonstrable value for money.
