- Consumer confidence remains at zero for March
- Brexit concerns beginning to hit home
- GfK reports an 18-point decline year on year
UK consumer confidence has stalled at zero for the second month running as Brexit concerns begin to take their toll.
Confidence levels, based on GfK’s consumer confidence survey, have fallen 18 points since last March with the index rating dropping from four to zero last month and remaining at the same level since.
“Despite good economic headlines about low inflation, interest rates and prices in the shops, concerns about Brexit and the ongoing Eurozone crisis appear to be hitting home,” said GfK’s head of market dynamics Joe Staton.
UK voters will go to the polls on June 23 to have their say on whether the country remains part of the European Union.
Staton added: “Whilst UK consumers remain resolutely upbeat about their personal financial situation, concerns about prospects for the general economic situation continue to dampen our mood.”
Last week Next’s boss Lord Wolfson warned that he expected it to be the toughest year since 2008. Wolfson suggested consumers were looking to spend their money on experiences as opposed to products.
On a separate measure, confidence in the general economic situation of the country during the last 12 months came in at -10, which is 11 points lower than March last year.
The ‘major purchase’ index – which measures how consumers feel about buying big-ticket items like furniture or electricals – fell one point this month to +11, which is two points higher than this time last year.