UK consumer sentiment took a cautious turn in April as concerns about new strains of Covid-19 and the economy tempered the enthusiasm recorded earlier in 2021.
GfK‘s consumer confidence index rose 1 point to -15 after a 7-point jump in March as people’s view of their personal finances held steady but households were less likely to make a big purchase.
Consumers’ view of the general economic situation over the next 12 months and the past year improved improved. Households’ view of their own finances over the next year was unchanged at 10 while their judgement on the past year dipped to -3 from -2.
After an 8-point increase in March GfK’s major purchase index dropped 1 point to -12, indicating caution about splurging money saved during lockdowns on a new car or another large item. Retailers and other customer-facing businesses are hoping consumers will loosen their belts after a year of lockdowns and restrictions.
Joe Staton, GfK’s client strategy director, said: “Confidence has edged up one point in April with consumers taking a more guarded view on the future. The improvement in…