UK consumer confidence remained unchanged in April
Consumer confidence in the UK remained unchanged in April, according to market researchers GfK.
The UK Gfk Consumer confidence stood at a seasonally adjusted score of four in April – the same score as in March.
For two straight months consumer confidence has been at its highest level in over a decade.
The results are in line with what analysts had expected of confidence remaining unchanged.
Banks, manufacturers, retailers, construction companies and government agencies monitor consumer confidence closely. It significantly influences their planning.
GfK managing director Nick Moon said that despite a lack of momentum, the score is still much higher than when Cameron took office.
“The government goes into the election with the final Consumer Confidence Barometer offering mixed fortunes,” said Nick Moon.
“On the one hand, there is no continuing momentum – the index has not risen since last month – while on the other hand the index is standing at a far higher point than when the government came to power. We haven’t seen the scores of the past two months since September 2002,”
Consumers also remained optimistic about the next 12 months, according to the survey of 2,000 people.
Respondents said that they felt secure about personal finances and the general economic situation. However, compared to March, they were less likely to buy big ticket items such as electrical goods and furniture.
This is in line with a recent study by Markit that revealed consumers in the UK have been using extra cash to pay off debts rather than make major purchases.
Recent reports about the UK economy have been mixed. Official data released on Tuesday revealed that growth slowed in the first three months of this year. However, most economists expect growth to bounce back at a steady pace later this year.