British consumer confidence down in September

British consumer confidence declined in September from a nine-year high as households showed marginally greater pessimism regarding their personal finances. GfK’s UK Consumer Confidence Index slipped two points in September to -1.

Of the five measures that make up the Index Score, four posted a decrease in September.

Managing Director of Social Research at GfK, Nick Moon, said:

“Last month, I speculated that we may be in a new period of stasis for the index, and this month certainly fits into that pattern. There have now been five consecutive months where the index has been at 0 plus or minus 2 – within the margins of error one would expect on a sample of this size.”

“Over the same period, the objective macro-economic indicators have continued, for the most part, to be positive. One possible explanation for this positivity no longer being mirrored in the index is that many people are not themselves feeling any better off despite the growth in GDP, and this may be tempering the impact of positive media coverage of the economy.”

Nick Moon on British Consumer Confidence

Mr. Moon says many Brits are not feeling any better off despite the country’s economic growth.

Personal Financial Situation – down on August

The index which gauges how people view their personal finances over the past 12 months fell one point in September to -8, which was eight points higher than in September last year.

How people view their personal finances during the next 12 months fell by four points to 1, the same level as in September 2013.

General Economic Situation – down on August

The gauge for the general economic situation for the UK over the past 12 months declined by 3 points in September to -4, which was 21 points higher than in the same month last year.

Expectations for the general economic situation over the coming 12 months fell seven points to 4, which was one point higher than in September 2013.

Major Purchase Index – up on August

The major purchase index rose one point in September to 0, which was 14 points above September 2013’s level.

Savings Index – down on August

The savings index fell one point in September to -9, which was eight points higher than in the same month last year.