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GfK’s Consumer Confidence Index has revealed a ‘flatline’ in consumer confidence.
Consumer confidence in November was ranked at -14, the same ranking that was reported the month prior.
Joe Staton, client strategy director at GfK, said: “In the face of Brexit and election uncertainty, consumers are clearly in a ‘wait-and-see’ mode.
“The score for the general economy over the coming year has ticked up three points and this is possibly an indication that some consumers believe the imminent general election might clear the Brexit deadlock, even though this sub-measure is still in deeply negative territory at -34.”
He added: “The general election is potentially an opportunity to move us out of the doldrums – but for this to happen there must be a clear result. A hung parliament could be very damaging for consumer confidence and would surely deepen the obvious malaise that we see month after month.
“We have not seen a positive headline score since January 2016 – that’s nearly four years ago. Uncertainty is nobody’s friend. So, while many issues are under the spotlight in this election, political parties will need to satisfy voters that they will be effective for the wider economy and that, as a consequence, people will be better off next year and beyond.
“Consumers need to be convinced they will be able to balance their personal accounts beyond ‘just about managing’. Fantasy economics alone will not guarantee votes.”
The overall index score is conducted from measuring personal finance situation, general economic situation, major purchase index and savings index.
The index measuring changes in personal finances during the last 12 months decreased by one point in November, while the forecast for personal finances over the next 12 months was unchanged at +1.
The general economic situation of the country during the last 12 months decreased one point to -34, 5 points lower than the previous year.
Expectations for the general economic situation over the next 12 months have increased three points to -34, however.
The major purchase index decreased one point to 0,while the savings index decreased three points to +18.
The research, conducted on behalf of the European Commission, was taken from samples of over 2,000 individuals.
