Latest News

Beset by bad news, UK consumers gloomiest since lockdown

Economy24 minutes ago (Oct 22, 2021 00:16)

© Reuters. FILE PHOTO: Shoppers cross the road in Oxford Street, in London, Britain August 14, 2016. REUTERS/Peter Nicholls/File Photo

LONDON (Reuters) – People in Britain are their most downbeat since they were under lockdown in February, and are increasingly worried about the year to come as prices and COVID cases rise, according to a long-running survey published on Friday.

The GfK Consumer Confidence Index fell for a third month in a row to -17 in October, its lowest since February, from -13 in September. A Reuters poll of economists had pointed to a reading of -16.

Fuel and food shortages, a jump in inflation, the prospect of higher interest rates and climbing COVID-19 cases were all making consumers gloomier, Joe Staton, GfK’s client strategy director, said.

“Against a backdrop of cheerless domestic news … it is not surprising that consumers are feeling down-in-the mouth about the chilly winter months ahead,” he said.

Shoppers were also less keen to make big purchases in the run-up to Christmas, he added.

The loss of confidence among Britain’s consumers complicates the job for the Bank of England as it weighs up when to raise interest rates for the first time since the start of the pandemic.

Inflation is on course to surpass 4%, more than double the BoE’s target, but the pace of the economy’s recovery from its pandemic shock has slowed and the number of COVID-19 cases is the highest in Europe.

The central bank is due to announce its next policy decision on Nov. 4.

Beset by bad news, UK consumers gloomiest since lockdown

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Stocks rise, S&P 500 hits record; U.S. 10-yr yield jumps

Previous article

UK employers tell Johnson to ‘get serious’ about tax and investment

Next article

You may also like


Leave a reply

Your email address will not be published.

More in Latest News