Consumer confidence spiked across the UK in November, as concerns over the budget cooled off.

Household confidence was up three points to -18, market research firm GfK found, as shoppers prepared to make big purchases ahead of Christmas and Black Friday.

All five sub-sectors of the household survey increased between 30 October and 15 November, with the highest optimism found in shoppers’ intentions to make large purchases before Christmas and the Black Friday sales.

The rise comes after uncertainty over the tax rises unveiled in the budget in October.

Consumer confidence plunged during September ahead of the budget and the withdrawal of winter fuel payments.

Economists attributed the rise to increasing wages, lower interest rates and reduced worries over taxes rises.

GfK consumer insights director Neil Bellamy said: “There was evidence of nervousness in recent months as consumers contemplated the potentially worrying impact of the UK budget at home, and even the implications of the US presidential election. But we have moved past those events now.

However, he noted it was “too early to expect significant further improvements in the consumer mood”.

“As recent data shows, inflation has yet to be tamed, people are still feeling acute cost-of-living pressures, and it will take time for the new government to deliver on its promise of ‘change,” he said.

Click here to sign up to Retail Gazette‘s free daily email newsletter