December's UK consumer confidence remains in cold storage

By

Nigel TAYLOR

Published
Dec 16, 2022

There’s certainly no winter cheer on the UK consumer confidence front with the latest index figures released Friday from GfK remaining at historical lows.

Despite the slightest of rises for both November and December, the main reading remained at a chilly -42. Of the wider measures, three were up, one was down, and one was unchanged compared to November’s announcement.

The index measuring changes in personal finances over the last 12 months fell four points to -28 and now stands 23 points worse than in December 2021.  And the forecast for personal finances over the next 12 months remained at -29. That's some 30 points lower than this time last year.

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The measure for the UK’s general economic situation during the last 12 months was up one point at -66, standing 27 points lower than in December 2021, while expectations for the general economic situation over the coming 12 months actually improved by five points to -53, but this is still 29 points lower than December 2021.

The Major Purchase Index was also up four points to -34 and remains 28 points lower than this month last year.

Finally, the Savings Index was down one point this month at +20 and was six points higher than this time last year.

Joe Staton, Client Strategy Director, GfK said: “December marks the eighth month in a row in which the Index has bumped along at -40 or worse, the first time this has happened since our records began nearly 50 years ago. The warning is of a tough road ahead and that the UK is not out of the recessionary woods. 

“Concerns about our economic future remain acute. As we enter the festive season, the Overall Index Score is still depressed and, with scant seasonal joy at present and no immediate prospect of fiscal good news, it is unlikely we will see a rebound in confidence any time soon.”