United Kingdom: Consumer confidence rises to 11-month high in February
Consumer confidence came in at minus 23.0 in February, up from January’s minus 28.0. February’s result marked the best performance since March 2020, and was likely driven by the swift domestic vaccine rollout. The rise in confidence bodes well for consumer spending once lockdown measures are eased.
The rise came on the back of an improvement in consumers’ views on their financial situation and the general economic situation over the next 12 months. Moreover, consumers’ willingness to make major purchases increased.
Despite February’s improved reading, Joe Staton, GfK’s client strategy director, stated:
“We need to be cautious because the positive tailwinds of the vaccination roll-out are being met by the very strong headwinds of unemployment, the threat of inflation and the difficulty that many face in affording day-to-day living costs.”