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Shopper confidence slipped barely in February regardless of hopes of a turnaround, including to fears the UK financial system might droop this 12 months.
A closely-monitored survey carried out by the analysis agency GfK mentioned shopper confidence dropped by three factors to -19.
The studying displays dampened spirits amongst British customers in what is going to probably fear Labour strategists eager on centring authorities campaigns round efforts to sort out the price of residing.
The survey discovered that folks have been additionally extra unfavorable about their private monetary conditions throughout separate metrics within the final 12 months and the subsequent 12 months, with each scores dropping by 4 factors.
Brits’ feeling in regards to the basic financial system over the subsequent 12 months remained unchanged, in line with researchers, whereas sentiment in regards to the basic financial scenario during the last 12 months improved by one level from January.
The GfK financial savings index additionally dropped on the month as Britons probably took discover of banks chopping rates of interest in response to the Financial institution of England’s string of cuts to borrowing prices during the last 12 months.
Neil Bellamy, shopper insights director at GfK, mentioned: “After a modest enchancment in latest months, shopper confidence is down three factors in February, returning to the extent seen in November 2025.
“This decline is principally pushed by weaker perceptions of private funds — each trying again a 12 months and forward. Fewer folks say that now is an effective time to make main purchases and fewer customers intend to save cash.
“Though the speed of inflation is easing, costs proceed to rise, forcing many households to prioritise day-to-day spending over longer-term wants. Views on the broader financial system stay firmly in unfavorable territory, with customers anticipating solely restricted financial development this 12 months.”
Shopper confidence knocked by rising prices
GfK’s month-to-month survey was revealed a day after the Workplace for Nationwide Statistics (ONS) revealed family prices jumped during the last 12 months.
Total prices rose by 3.6 per cent over 2025, in line with researchers, with adjustments in costs being broadly comparable for each low-income and high-income households.
Households with working members noticed a better improve in prices than retired households within the 12 months to December whereas prices for households with kids grew at a quicker tempo.
ONS analysts advised non-public renters have been the worst affected group within the UK whereas outright proprietor occupiers benefitted from a smaller rise in prices over the 12 months.
