Consumer confidence hits two-year high

26th January 2024

Consumer confidence has hit the highest point in two years, with an index published by GfK increasing to -19 points in January from -22 in December. Improved optimism in household finances over the next 12 months drove the increase in the overall index, while the personal finance expectations index was flat in January, marking the first time in two years that it has not been negative. 

Joe Staton, Client Strategy Director GfK, said “Consumer confidence has started the year well with all measures up and a headline score of -19, the best since January 2022. Importantly, the view on our personal financial situation for the coming year has gained two points and now stands at zero.

“This is exciting as it ends 24 consecutive months of negative scores for this measure and this significant change is the best single indicator for how the nation’s households feel about their income and expenditure. Despite the cost-of-living crisis still impacting many households across the UK, consumers appear to be encouraged by the positive news about falling inflation. On balance, while there is national and global turmoil, the Consumer Confidence Index has started 2024 on a positive note – let’s see if this optimism continues.”