Consumer confidence reaches nine year high in May
UK consumer confidence in May rose to its highest level since 2005 according to figures released by GfK in its latest Consumer Confidence Barometer.
The research firm’s headline figure climbed three points to 0 this month.
GfK said the main driver of the increase was people’s assessment of the general economic climate. There was an eight point jump in the retrospective assessment of the last 12 months and a four point increase in confidence about the next 12 months. However, people’s verdict on their own circumstances was less positive with the index for ‘personal finances over the next 12 months’ rising by one point to 6.
The ‘climate for major purchases’ index increased by one point to -3; which is 22 points higher than this time last year.
Nick Moon, managing director of social research at GfK, said: “A rise of three points in the Index in a month is itself a significant change, but what matters more, psychologically at least, is that the Index has left negative territory for the first time in over nine years. It is not actually positive, standing as it does at 0, but this is the first time it has reached 0 since April 2005.
“Over the last 14 months the Index has risen a remarkable 27 points since April 2013 – the biggest gain since June 1977 when the index jumped 34 points from -14 to +20 in a seven-month period.”
