Consumer confidence slips in March 

Consumer confidence in the UK decreased by two points to -9, according to the latest figures from the GfK.

Within the group’s consumer confidence index, one measure increased, three measures decreased, and one measure remained the same in the month of March.

The personal finance situation index for the last 12 months increased by three points to two, which is two points higher than the year prior. 

The forecast for personal finances over the next 12 months decreased to three points, however, though this is one point higher than March 2019.  

The general economic situation index remained the same at -23, ten points higher than the year prior. However, expectations for the general economic situation over the next 12 months fell by six points to -27.

The major purchase index fell by eight points this month to -2, while the savings index fell by ten points to ten.

Joe Staton, client strategy director at GfK, said: “Against the threat of a dramatic slowdown in the UK economy due to the spread of Covid-19, the consumer confidence barometer has weakened by two points this month.

“Importantly, this research was carried out during the first two-weeks of March, when the coronavirus was headline news but not impacting day-to-day lives of people across all UK nations to the degree we see today.”

He added: “After a run of increasingly positive numbers since last December, we’re now seeing very clear disruption. The steep eight-point fall in the Major Purchase Index is worrying news for retailers across the land.

“While we have a long way to drop before we match the devastating numbers seen in July 2008, when the overall index score crashed to -39 points, we are likely to suffer further deterioration now that we are in  lock-down in Britain.”