GfK’s Consumer Confidence Index increased three points to -14 in November. Four measures were up, and one was down in comparison to the October 22nd announcement.
The Major Purchase Index, which gauges consumers' willingness to spend on big-ticket items such as furniture, increased by seven points to -3 – up +25 points YoY.
Joe Staton, client strategy director, GfK, says: “Headline consumer sentiment has ticked upwards this month despite decade-high inflation, fears of higher prices and worries over rising interest rates, and as the deepening cost-of-living squeeze leaves UK household finances worse off this winter.
"The view on the general economic situation over the past year and year to come is better this month (up six points and three points respectively) but consumers are less buoyant on their personal finances. This weakness is important as it reflects day-to-day plans to save or spend and is a strong driver of overall UK economic growth.
"However, one highlight for both physical and virtual retail is the seven-point jump in major purchase intentions in the run-up to Black Friday and Christmas. Is this a sign that shoppers are ready to bounce back, after last year’s cancelled family gatherings, with a Christmas splurge in coming weeks? That’s how it looks, but consumers also know that when the festivities are over it’s going to be a tough year in 2022.”
