UK Consumer Confidence Jumps 3 Points to -14, Hitting 2-Year High
Updated
Updated · Bloomberg · Aug 20
UK Consumer Confidence Jumps 3 Points to -14, Hitting 2-Year High
2 articles · Updated · Bloomberg · Aug 20
Summary
GfK’s UK consumer confidence index rose 3 points to minus 14 in August, its highest level since August 2024 and the strongest reading since Labour took power.
The August gain beat forecasts for minus 18 and extended a two-month rebound to 9 points from June, after a July reading of minus 21.
Improving views on personal finances and the wider economy, alongside easing inflation and Bank of England rate cuts, helped lift household sentiment.
The survey adds to signs that the national mood has improved since Andy Burnham became prime minister in July, giving Labour a stronger backdrop two years into government.
Despite UK consumer confidence hitting a two-year high, will the July inflation spike and soaring energy costs crush this fragile recovery before the holidays?
Can the Bank of England's rate cuts truly rescue retail spending if real disposable incomes are still falling across the UK?
With renters losing over a third of their income to housing, is the celebrated jump in consumer sentiment just masking deeper economic inequalities?