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GfK: 'Major purchase confidence lowest ever'
Ben Furfie May 30 2008, 12:00pm
Comments (2)
May report shows consumers most hesitant to buy major products since records began
Consumer confidence for major purchases has hit its lowest point since records began in 1973, according to the latest figures from GfK NOP carried out on behalf of the European Commission.
Major purchases took another major hit during may, with consumer confidence falling a further five per cent, bringing over all confidence to -32. By contrast, in May 2007 the measure stood at +4, highlighting to dramatic collapse in consumer confidence over the past 12 months.
Speaking about the figures, GfK NOP's spokeswoman for the consumer confidence team, Rachael Joy said: "UK consumer confidence continues its decline and we are seeing levels not recorded since 1990; we are at a massive 27 points lower than this time last year [in general confidence].
"Consumers' confidence in the economy over the next year, plus a reluctance to make major purchases, reflect the popular expectation of a recession – both these measures are at the lowest level on record," she added.
However, she was keen to stress that we may not be at the end of the problems: "The future months may see even further falls in confidence, as increasing inflation and dropping house prices make reigning in their spending even more likely to the UK consumer."
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Comments
“tough times”
Posted by: Gerry Wilson - May 30, 2:37pm
I've certainly noticed it. Tough times!
“Re: tough times”
Posted by: steve - May 30, 2:56pm
I have had a retail computer business for nearly 10 years ,This month it has been VERY quiet , customers only buying equipment if really required , customers are not splashing out on new monitors and laptops etc. It's also getting more and more expensive to be in retail with rising council taxes ,and rent. It's a real shame as the indepentants will be forced out and we will all end up working for the supermarkets !!