Eighth Consecutive Month of -40 or Lower Index Marks Longest Streak Since Records Began

  • Consumer Confidence Index remains at historic lows in December
  • Eighth consecutive month with Index around -40 or lower
  • Index measuring personal finances over last 12 months worsened to -28
  • General economic situation index up one point to -66, down 27 points from December 2021
  • Expectations for future general economic situation improved by five points to -53, still 29 points lower than last year
  • Major Purchase Index up four points to -34, 28 points lower than last year
  • Savings Index down one point at +20, six points better than last year
  • GfK warns of a tough road ahead amidst recession and falling real wages

The UK’s consumer confidence remains at historic lows, with the GfK’s Consumer Confidence Index standing at -42 in December. This marks the eighth consecutive month of an Index around -40 or lower, a record since the company began tracking data nearly 50 years ago. The index measuring personal finances over the last 12 months worsened to -28, while the general economic situation index increased by one point to -66. Expectations for the future general economic situation improved by five points to -53 but remains 29 points lower than December last year. The Major Purchase Index rose four points to -34, 28 points lower than the previous year, and the Savings Index fell one point at +20, improving six points from last year. GfK’s Joe Staton warns that real wages are falling due to inflation, straining household budgets during the festive season.

Factuality Level: 8
Factuality Justification: The article provides accurate information about the GfK’s Consumer Confidence Index, including specific numbers and comparisons to previous months and years. It also includes quotes from an expert source that adds context and insight into the data. However, it could be improved by providing more details on the factors contributing to the low confidence levels and potential solutions or actions being taken to address the issue.
Noise Level: 3
Noise Justification: The article provides relevant information about the GfK’s Consumer Confidence Index and its changes over time, as well as insights from Joe Staton, Client Strategy director at GfK. It does not contain any irrelevant or misleading information, nor does it reinforce popular narratives without questioning them. The article stays on topic and supports its claims with data from the index. However, it could benefit from more analysis of long-term trends or possibilities, and providing actionable insights for readers.
Financial Relevance: Yes
Financial Markets Impacted: The article discusses the GfK’s Consumer Confidence Index which reflects consumer sentiment and its impact on personal finances, general economic situation, and major purchases. This can influence spending patterns and overall economic growth.
Financial Rating Justification: The article talks about the GfK’s Consumer Confidence Index, which is a financial indicator that measures consumers’ attitudes towards their personal finances and the economy. It also mentions the impact on personal financial situations and major purchases, which can affect consumer spending and economic growth.
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: Minor
Extreme Rating Justification: There is no mention of an extreme event in the last 48 hours.

Reported publicly: www.retailsector.co.uk