GfK’s Consumer Confidence Index decreased by three points in November to -13, with all five measures decreasing. The Major Purchase Index – which indicates consumer willingness to purchase big-ticket items such as furniture – decreased seven points in November to -3, taking it to the same level as November 2017.
Joe Staton, client strategy director at GfK, says: “Against a backdrop of the Chancellor telling everyone that the Brexit deal on the table will make people worse off, this month we’re recording an across-the-board fall for all measures with concerns over household finances, the general economy and purchase intentions.
"The measure that fell the most is our Major Purchase Index, with a seven-point plunge that is unhappy news for retailers. The view on the general economy in the coming 12 months fell four points, as did the perception of the past year’s personal finances. Overall, we are now back at the -13 level we saw at the end of last year. The next few weeks are highly unlikely to inject any festive cheer, especially if Theresa May’s Brexit deal doesn’t win backing from MPs. The denouement to more than two years of bewildering Brexit wheeler-dealing looks like it will be enacted precisely when many consumers would prefer to be thinking of a well-earned Christmas break, filled with family get-togethers, warmth and festivity. Brexit appears to be turning this year’s ‘season of goodwill’ into ‘the season of uncertainty’.
