Shopper confidence throughout the UK has posted a rebound to pre-pandemic ranges because the nation emerged out of its newest spherical of lockdown
Shopper confidence throughout the UK has posted a rebound to pre-pandemic ranges because the nation emerged out of its newest spherical of lockdowns and regarded ahead to resuming financial exercise as soon as once more. GfK’s shopper confidence index surged to -9 throughout Could, up from -15 in April, and touching the studying seen earlier than the UK had imposed its first spherical of lockdown greater than a 12 months in the past.
The bounce was powered by elevated optimism amongst customers concerning the state of their private funds over the approaching 12 months, which has risen by 19 factors from the identical interval a 12 months again. Shoppers are additionally feeling extra upbeat concerning the UK economic system basically, with its sub-index measurement rising by 15 factors in Could to the touch +4.
Whereas customers proceed to stay pessimistic about making massive ticket purchases, the extent of pessimism has eased considerably, rising from -12 in April to -7 in Could – a bounce of 40 factors since Could 2020. The spike on this sub-index might be powered by pent-up demand amongst customers and powered by financial savings accrued over the previous a number of months when the economic system remained in lockdown.
Shopper technique director at GfK, Joe Staton, observes, “These findings mirror April’s ‘feelgood’ re-opening of outside pubs, retailers, gyms and hairdressers mixed with persevering with vaccination success, all this earlier than the opportunity of green-list trip alternatives in Could. Rising confidence is fuelling the economic system and solely a reversal to lockdown can dampen this stable momentum.”