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London's Tower Bridge
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UK consumer confidence unexpectedly rose for the second straight month in March, in an early signal that the government's efforts to stimulate the economy and promote bank lending may be working.
Consumers remain cautious but confidence slowly increasing
- Confidence highest since May 2008, but remains low.
- GfK NOP Consumer Confidence Index has increased five points to -30.
- Confidence in the "general economy” over the next 12 months rose nine points.
Rachael Joy in the Consumer Confidence team at GfK NOP commented: "This month Consumer Confidence jumped quite significantly to levels not seen since May last year. It still remains historically very low, but suggests that lower interest rates and a better picture for household bills are restoring some confidence among UK Consumers. Certainly, when looking to the future, consumers are feeling better about the likely performance of the economy over the next 12 months.”
UK Consumer Confidence Measures – March 2009
The overall index score this month has risen five points to -30, eleven points lower than this time last year. The rise this month has been driven by increases in confidence the economic situation over the next and during the last twelve months. The annual moving average continues its downward trend and has dropped one point to -32.
|
March 2009 |
Feb 2009 |
March 2008 |
| Overall index score |
-30 |
-35 |
-19 |
Personal financial situation over
last 12 months |
-17 |
-18 |
-4 |
| Personal financial situation over next 12 months |
-6 |
-8 |
+4 |
| General economic situation over last 12 months |
-75 |
-82 |
-43 |
| General economic situation over next 12 months |
-31 |
-40 |
-32 |
| Climate for major purchases |
-23 |
-24 |
-21 |
Personal Financial Situation
The index measuring changes in personal finances during the last year has risen by one point to a score of -17; this is thirteen points lower than this time last year.
The forecast for personal finances over the next year has risen two points to a score of -6. This is ten points lower than March ’08.
General Economic Situation
The measure for the general economic situation of the country during the last twelve months has risen by seven points to –75; this is thirty-two points lower than this time last year.
Expectations for the general economic situation over the next twelve months have risen by nine points to -31; one point higher than March ’08.
Climate for Major Purchases
The major purchases measure has risen for the fifth month in a row, increasing one point to -23. This is now only two points lower than this time last year.
Savings Index
The ‘now is a good time to save’ Index, has risen by two points to -23, this is a massive forty-eight points lower than March ’08.
