UK consumer confidence drops for first time in six months
21st July 2023 GfK’s Consumer Confidence Index saw a downturn in July, ending a run of six consecutive months of increasing scores. The index fell six points to -30, with all measures falling compared to June. The long-standing index is measured in five categories, which are each given scores. Of those surveyed, opinions on personal financial situation over the last 12 months decreased by five points to -20, while personal financial situation for the next 12 months fell six points to -7. Consumer opinions on the general economic situation over the last 12 months decreased by four points to -58, while feelings about the next 12 months dropped eight points to -33. The major purchase index, which measures consumer likelihood to make larger, discretionary purchases, also fell, recording a dip of seven points to -32. The savings index, which does not contribute to the overall score, was the only measure to increase, up by one point to 26. This may be seen as a reflection of high interest rates putting people off saving and encouraging saving. Joe Staton, client strategy director for GfK said: “For the first six months of 2023, UK consumer confidence improved despite the headwinds of the cost-of-living crisis, with double-digit...