UK consumer confidence lifts post Budget - GfK

(Sharecast News) - Consumer confidence jumped in November, a long-running survey showed on Friday, after uncertainty seen in the run-up to the Budget eased.

The latest GfK consumer confidence index was -18 in November, a three-point jump on October, when it eased one point to -21.

It was also a notable improvement on the -24 recorded in November 2023.

Within the overall index score, all but one sub-measure strengthened. Expectations for personal finances over the coming 12 months rose one point to -1, while the economic outlook also improved, by two points to -26.

Consumers were also more willing to spend in the run up to Black Friday, with the major purchase index jumping five points to -16. In contrast, the savings index fell 3 points to 24.

Neil Bellamy, consumer insights director at GfK, said: "There was evidence of nervousness in recent months as consumers contemplated the potential worrying impact of the Budget at home, and even the implications of the US presidential election.

"But we have moved past these events now. The biggest change this month is in major purchase intentions, an important measure.

"However, while 2025 is just around the corner and the new year often brings optimism, it's too early to expect significant further improvements in the consumer mood."

Bellamy pointed to inflation, which ticked higher in October to 2.3%, and ongoing cost of living pressures as potential headwinds.

A total of 2,001 adults aged 16 and over were interviewed between 30 October and 15 November.