UK consumer confidence improved in November despite people’s ongoing concerns about the cost of living, raising hopes of higher spending this Black Friday and Christmas.
GfK’s latest Consumer Confidence index has risen by six points in the month to -24 compared to a nine-point decline in October.
The increase was the biggest month-on-month improvement since March to April although it was still much lower than before the pandemic hit the UK.
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The survey also revealed that confidence in the general economy over the next year had increased by six points to -26, while its “major purchase index”, which measures confidence in buying big ticket items, leapt 10 points to -24.
GfK client strategy director Joe Staton said: “Consumer confidence strengthened in November with improvements across all measures. Recent ups and downs in confidence have underlined the nation’s topsy-turvy economic mood as encouraging news about falling inflation and wage growth is offset by high personal taxation, alongside costly fuel and energy bills.
“Although the overall index score is still tracking firmly in negative territory, it is good to see that consumers are more optimistic about their personal financial situation. This shows people are thinking about their future with increased confidence and willingness to look beyond the short-term.”
“The dramatic 10-point jump in our major purchase sub-measure, reversing some of the worrying 14-point drop we saw last month, will be good news for retailers looking to benefit from Black Friday and Christmas.”
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