UK consumer confidence marginally rose in December despite remaining “gloomy”, according to the British Retail Consortium (BRC).
BRC-Opinium data revealed consumer expectations over the next three months of the state of the economy improved to -38 in December, from -44 in November.
Expectations for personal financial situation over the same period improved to -10 in December, compared to -16 the month before.
BRC CEO Helen Dickinson said: “With the Budget not as bad as feared for households, confidence saw a slight uptick in December.
“Yet the overall picture remains gloomy, with confidence in the economy stuck below -30 for eleven out of last twelve months.”
The data also revealed predictions for personal spending on retail dropped to +6 in December, from +8 in November, while expectations for their personal spending overall rose to +17 in December, from +14 the month prior.
While expectations for personal saving dipped to -9 in December, down from -5 in November.
Dickinson added: “Expectations for retail spending continued to slide for the third consecutive month, proving challenges remain in the year ahead.”
“Government needs to pull the levers of growth, tearing down red tape and bureaucracy to allow businesses to flourish and create more jobs. From the employment rights bill to rules on less healthy foods, the government must consider the cumulative impact of its policies on business, ensuring new regulations are workable and do not punish responsible businesses.”
The news follows a recent BRC and KPMG report that pre-Budget fears hit Black Friday sales in November.
Earlier this month, the BRC also reported that rumoured tax hikes and poor weather discouraged consumers from shopping in November.
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