Consumer confidence dips amid Brexit ‘uncertainty’

The overall score of the GfK’s Consumer Confidence Index for the month was -9, as four measures denoting consumer confidence registered falls and one held steady.

Shopper sentiment about the general economy over the next 12 months fell further into negative territory during the period, down one point to -27, while confidence about the economy over the previous year dropped two points to -28.

Despite registering declines of three points each, shopper sentiment about their personal finances over the last 12 months and year ahead remained in positive territory at +1 and +5 respectively.

Shoppers’ inclination to purchase big-ticket items also remained positive at +6, the same result as the previous month.

GfK’s client strategy director Joe Golby said: “When respondents talk about their personal finances, the scores are still positive. But for the general economy, they can only reflect on the obvious uncertainty surrounding Brexit.

“That poor view of the wider economy is keeping the headline score negative – the last positive headline was the +4 in January 2016.

“The danger is that consumers might capitulate on how they feel about their personal finances. If that happens, we’ll see very sharp drops indeed in the overall index score in the months up to March 2019.”