Consumer confidence slumps to six-year low as Britons fret about finances
Growth for Knowledge said its key index fell by two points to minus 14. All five measures of confidence declined, with households’ view of their own finances over the next year slipping three points.Updated: Oct 31, 2019, 18:54 IST
U.K. consumer confidence slumped to match a six-year low this month as Britons became less optimistic about their personal finances, according to a survey published Friday.
Growth from Knowledge (GfK) said its key index fell by two points to minus 14. All five measures of confidence declined, with households’ view of their own finances over the next year slipping three points.
The survey of 2,001 individuals was carried out in the first two weeks of October, a period that saw heightened uncertainty as Prime Minister Boris Johnson attempted to agree a departure agreement with the European Union and the Bank of England warned of “material risks” of economic disruption in the event of a no-deal Brexit. Since then, the U.K. has been granted an extension, and the nation is headed for a December general election.
“This deterioration in sentiment regarding our personal financial affairs is worrying as strong consumer spending has been the main driver of economic growth,” said Joe Staton, client strategy director at GfK. “Nobody wants to see consumer spending reduce and let’s hope it doesn’t happen. But Brexit’s continuing uncertainty and the specter of a general election is not helpful.”