United Kingdom: Consumer confidence reaches highest level in over six years
January 31, 2014
In January, the GfK NOP consumer confidence index rose from the minus 13.0 points recorded in December to minus 7.0 points. The reading overshot market expectations of a slight improvement to minus 12.0 points and reached the highest level since September 2007.
The improvement in January was broad-based. Consumers were more optimistic regarding their personal finances for the next 12 months. Households were also more optimistic regarding the state of the economy over the course of the past year and their willingness to make major purchases improved compared to the previous month.
FocusEconomics Consensus Forecast panelists expect private consumption to expand 2.3% in 2014, which is unchanged over last month's estimate. For 2015, the panel sees private consumption expanding 2.1%.
Author: Dirina Mançellari, Senior Economist