–GfK NOP Says Is Too Early To Assess Impact Of Budget
LONDON (MNI) – UK consumer confidence remained unchanged overall at
-28 in March, according to the latest GfK NOP Consumer Confidence
Index.
That score is thirteen points lower than the same month of 2010,
while the annual moving average has fallen now to -21, GfK NOP said.
Consumers appear to have become slightly more confident about the
economic situation over the past 12 months (-54 vs -55) as well as in
the coming 12 (-29 vs -31), GfK NOP noted.
As regards their personal financial situation, consumers are
feeling less confident (-19 vs -16) for the past 12 months and about the
same for the next 12 months (-10).
The major purchase index fell (-29 vs -25).
Nick Moon, MD of GfK NOP Social Research, said it was too early to
observe any impact from last week’s Budget for Growth but said that
confidence was continuing to languish:
“Last week’s budget was characterised as a budget for growth. This
month’s figures show how badly some form of stimulus is needed, since
consumer confidence has stagnated at depths seldom seen outside of
actual recession. The last time it was this consistently low was two
years ago, and before then in autumn 1990″.
“Next month’s figures will reveal whether the budget really did put
fuel in the tank of the economy – or merely poured more cold water on
people’s personal finances.”
The fluctuations in consumer confidence surveys will tend to be
peripheral in the monetary policy debate, with Bank of England Monetary
Policy Committee newcomer Martin Weale openly skeptical about them.
Interviewing for the survey was carried out between Mar 11 and 20.
–London newsroom 44207 862 7491; email: wwilkes@marketnews.com
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