UK consumer confidence worsens again in April - GfK

UK consumer confidence worsened slightly in April due to worries about rising inflation and flat wages.

GfK’s Consumer Confidence Index fell further into negative territory, dropping one point to -7 in April.

Four of the five measures that make up the index deteriorated, with the backward and forward views of the general economic situation both sinking to -23 and -21 after remaining unchanged for two months.

The Major Purchase Index was the only element to show an increase, rising to +7, its second successive improvement.

GfK's head of market dynamics, Joe Staton, argued that in the face of widespread reports of rampant inflation, stagnating wages and anxiety over our borrowing binge, UK consumer confidence was "surprisingly stable".

He added: "Although the Overall Index Score remains in negative territory, and has dipped this month, we have not seen any evidence of the predicted post-Trigger downturn, despite high levels of concern about the general economic situation of the country.

"Consumers continue to remain positive about the state of their personal finances and even report that now is a good time to buy. But is this too good to be true? Is this simply the calm before the storm? Is pre-Brexit economic turbulence yet to really batter households? That threat cannot be ruled out.”