Consumer confidence falls at fastest rate in 26 years following Brexit vote
New figures have shown that consumer confidence has dropped at the sharpest rate for more than 26 years in the wake of the Brexit vote.
The long running GfK Consumer Confidence Index has dropped 11 points in July from -1 to -12. This marks a further three point drop from the -9 recorded by the firm’s Brexit Special in early July. All five measures used to calculate the Index have seen decreases this month.
Joe Staton, head of market dynamics at GfK, said: “Consumers in post-Brexit Britain are reporting higher levels of concern this month. We’ve seen a very significant drop in confidence, as is clear from the fall in each of our key measures, with the biggest decrease occurring in the outlook for the general economic situation in the next 12 months.
“Although the rate of decline is slower than reported in the aftermath of the vote to leave the EU, consumers in the UK were also less optimistic about the state of their personal financial situation going forward.
“However, the Index continues to remain at a relatively elevated level by historic standards. Its future trajectory depends on whether we enter a new period of damaging economic uncertainty or restore confidence by embracing a positive stance on negotiating a new deal for the UK.”
