Consumer confidence edges upwards in December giving retailers pre-Christmas boost

  • Consumer confidence ticked up by two points in December
  • Confidence in personal finance makes large gain upwards
  • Overall, though, confidence is still in negative territory

Time 8:03 am, December 15, 2023

Consumer confidence has edged upwards giving retailers a pre-Christmas boost, but overall figures are still negative.

Latest data from GfK’s Index shows consumer confidence ticked up by two points in December.

However, the Index also shows that overall confidence is still firmly in negative territory at minus 22.

Expectations for the general economic situation over the next 12 months increased by one point to minus 25 but has risen to 28 points higher than a year ago.

Notably, confidence in personal finances – reflecting household financial optimism and control over budgets – has recovered from the depressed minus 29 of a year ago to minus 2.

The major purchase index, a mark of confidence in buying big ticket items, also rose, by one point to minus 23.

Joe Staton, client strategy director at GfK, said: ‘Against the backdrop of flat-lining economic growth, interest rates at a 15-year high, and price rises potentially eroding disposable income for years to come, the Consumer Confidence Index shows a modest improvement this month with gains across all key measures.

‘Although the headline figure of minus 22 means the nation’s confidence is still firmly in negative territory, optimism for our personal finances for the next 12 months shows a notable recovery from the depressed minus 29 reported this time last year.

‘Despite the severe cost-of-living crisis still impacting most households, this slow but persistent movement towards positive territory for the personal finance measure looking ahead is an encouraging sign for the year to come.’

James Batchelor's avatar

James – or Batch as he’s known – started at Car Dealer in 2010, first as the work experience boy, eventually becoming editor in 2013. He worked for Auto Express as editor-at-large and was the face of Carbuyer’s YouTube reviews. In 2020, he went freelance and now writes for a number of national titles and contributes regularly to Car Dealer. In October 2021 he became Car Dealer's associate editor.

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