GfK’s Consumer Confidence Index decreased seven points to -26 in February. All measures were down in comparison to the January 21st announcement – the Major Purchase Index decreased by five points to -15, leaving it up four points YoY.
Joe Staton, client strategy director, GfK, says: “Fear about the impact of price rises from food to fuel and utilities, increased taxation and interest rate hikes has created a perfect storm of worries that has shaken consumer confidence. At -26, this is the lowest headline score since January 2021, one of the worst points in the Covid crisis.
"While all measures have fallen this month, the two forward-looking indicators tapping sentiment over the next 12 months on personal finances and the wider economic situation are showing the biggest falls – these are down 12 points and 11 points respectively. There’s clear anxiety in these findings as many consumers worry about balancing the household books at the end of the month without going further into debt. Slowing consumer spend slows the wheels of the UK economy so this is unwelcome news. And the good news on the easing or lifting of Covid restrictions around the UK seems to be doing little to lift the public’s mood.”