Consumer confidence hits new low

Figures for GfK’s latest Consumer Confidence Index show that confidence has now dropped to -18, the lowest rating since early 2009.

Although the figures show that people feel better about their personal and general financial performance over the last twelve months, the findings were reversed when asking people about the future, with more people feeling worried about their personal finances over the next year than in May 2009.

“These figures are clearly not good news for the coalition government, especially with mounting speculation about double dip recession,” said the managing director of GfK’s NOP Social Research, Nick Moon.

“With considerable cuts in public spending, plus higher taxes on the way, it is hard to see the confidence index improving significantly in the near future. Most worryingly, the biggest drops in the component parts of the index were in expectations for the next 12 months for the country as a whole and for consumers themselves.”