Consumer confidence has increased slightly, up from the historic lows it reached in recent months.

Rishi Sunak outside Number 10

Consumer confidence is up slightly from the historic low recorded in September

Consumer sentiment rose across all measures in November, according to the latest data from the GfK consumer confidence barometer.

Consumer confidence jumped three points to -44 in November, 30 points lower than the same month in 2021, but an improvement on the historic low of -49 recorded in September.

Confidence in personal finances over the past year grew four points to -24, while sentiment for the upcoming 12 months increased five points to -29.

 

Shoppers are also slightly more positive about the general economic situation in the UK.

The outlook for the next 12 months increased three points to -58, while the measure for the general economic situation over the past year grew two points to -67.

The major purchase index also inched up three points to -38.

Consumers are increasingly more confident in their savings – this is the only positive measure, which jumped eight points to 21 for the month of November as consumers gear up for Christmas.

GfK client strategy director Joe Staton said: “Despite the three-point rise in confidence to -44 this month and improvements in all measures registering the financial and economic mood of the nation, November’s overall index score remains at a near historic low.

“This month’s fillip is likely to reflect nothing more than a collective sigh of relief as a new prime minister takes charge following the alarming fiscal antics we saw in September. This is not the end of the beginning. External factors have changed little and, with UK inflation recently hitting a new high, more bad news is inevitable.

“Household budgets remain shrouded in massive uncertainty with fresh jumps in food prices, energy still uncomfortably expensive, the prospect of new interest rate rises pressurising mortgage and rent payments, potential future hikes in council tax and squeezed real pay.

“Consumers are looking for a festive cocktail of certainty and optimism, not this mishmash of austerity and pessimism. Good news remains in short supply as many people struggle to manage the purse strings during this protracted and painful cost-of-living crisis.”

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