UK consumer confidence increased in April as four measures rose during the month.
According to the latest GfK Consumer Confidence Index, overall figures increased two points to -19 in April. Four measures were up and one stayed the same in comparison to last month’s announcement.
The Major Purchase Index, which includes big ticket items such as furniture, is up two points to -25; this is three points higher than this month last year.
The measure for the general economic situation of the country during the last 12 months is up four points at -41; this is 14 points higher than in April 2023.
The index measuring changes in personal finances during the last year is up two points at -11; this is 10 points better than April 2024.
The Savings Index has increased one point to +26 in April; this is seven points higher than this time last year.
Joe Staton, Client Strategy Director, GfK, says: “Headline confidence edged forward in April to -19. There was a welcome repeat of the March +2 score for how consumers feel about their personal finances in the next 12 months.
“While the Overall Index Score remains negative, all of the underlying five measures this April are significantly better than they were last April. These improvements reflect the impact on household budgets of lower inflation and the anticipation of further tax cuts.
“However, we are a long way from the much firmer sentiment last seen in the period before Brexit, Covid and the conflict in Ukraine. There is a lot of ground to make up, and caution is needed in the face of continuing economic and fiscal challenges, and revised views on when the Bank of England might cut borrowing costs.
“But Spring has arrived and maybe consumer confidence is, at last, slowly becoming brighter and heading in the right direction.”
