< Back to News

U.K. Consumer confidence highest in 15 Years

Selfridges

U.K. consumer confidence got a post-election bounce this month, rising to its highest level in more than 15 years, according to GfK.

The company said on Tuesday that its sentiment index jumped 6 points in June to 7. That’s the best reading since January 2000.

The sub components in the gauge — measuring everything from consumers’ view of their finances to willingness to splash out on big-ticket items — also increased. The report is the first from GfK since the May 7 general election; questioning for last month’s index began before the ballot.

Consumers have helped the U.K. economy to nine straight quarters of growth, offsetting weak external demand and threats from the crisis in Greece. Joe Staton, head of Market Dynamics at GfK, said the “dramatic uptick” in confidence this month shows there’s a “real a spring in the step of consumers.”

Staton also said the optimism “could also translate into a busy time for retailers.” Within the GfK index, the so-called major-purchase gauge jumped 14 points to 16 in June.

Source: Bloomberg