Fears of recession in the turmoil economic climate have left consumer confidence at the lowest for 18 years. New research show the lowest levels in UK confidence since November 1990, which was also the start of our last recession.
The GfK NOP barometer of UK confidence scored -29 in May, the ninth month in the row where this figure has dropped. They report that all five of its confidence measures had dropped as a result of economic concerns, such factors including rising household bills and continuing uncertainty in the housing market.
With the increase in debt levels and the decrease of disposable income, it is no surprise that the worst rating question related to personal financial expectations over the next 12 months. GfK representative Rachael Joy said: “The future months may see even further falls in confidence, as increasing inflation and dropping house prices makes reigning in spending even more likely.”