UK consumer confidence had a “modest improvement” as it rose two points in December but remained “firmly in negative territory” as the cost-of-living crisis continues.

The overall index score for consumer confidence improved to -22 in December, according to the latest GfK consumer confidence index.

All five indexes measuring consumer confidence were up compared with last month as consumers appeared optimistic about personal finances for the year to come.


The index measuring consumers’ confidence in their personal financial situation over the past 12 months rose two points to -14. Looking ahead to the next 12 months, it increased by one point to -2.

Consumer confidence in the general economic situation over the past 12 months increased five points to -44 and increased one point to -25 when looking at the next 12 months.

The major purchase index grew one point to -23, while the savings index went up two points to 27 – seven points higher than this time last year. 

Joe Staton, client strategy director at GfK, said: “Against the backdrop of flatlining economic growth, interest rates at a 15-year high and price rises potentially eroding disposable income for years to come, the consumer confidence index shows a modest improvement this month with gains across all key measures.

“Although the headline figure of -22 means the nation’s confidence is still firmly in negative territory, optimism for our personal finances for the next 12 months shows a notable recovery from the depressed -29 reported this time last year. Recovery in this number is important as it best reflects household financial optimism and control over personal budgets.

”Despite the severe cost-of-living crisis still impacting most households, this slow but persistent movement towards positive territory for the personal finance measure looking ahead is an encouraging sign for the year to come.”