UK consumer confidence remains at record low in July - GfK

UK consumer confidence remained at a record low in July amid surging prices and rising interest rates, according to the latest survey from GfK.

The GfK consumer confidence barometer's overall index was flat on the month at -48.

The index for personal finances over the last 12 months was unchanged at -23, while the gauge for personal finances over the next year came in at -26, compared to -28 in June.

The index for the general economic situation over the last 12 months was -66 in July, compared to -65 the month before, while the gauge for the general economic situation over the next year was flat at -57.

The major purchase index was -34, having stood at -35 in June.

Joe Staton, client strategy director at GfK, said: "Consumer confidence remains severely depressed this month as the impact of soaring food and fuel prices and rising interest rates continues to darken the financial mood of the nation.

"Despite a two-point uptick in our hopes for our personal financial situation for the next 12 months, which might reflect optimism over imminent change at the top of the UK government, the overall index languishes at a historic low amid acute concerns for the general economic situation.

"Against this financial backdrop, the UK electorate is looking for a new leadership with a commitment to unleashing growth, tackling inflation and cutting taxation. The successful candidate will need to deliver a much-needed shot in the economic arm of the country if they are to help improve consumer confidence."