LONDON, June 6 (NNN-AGENCIES) – British consumer confidence deteriorated in late May, despite the country starting to further ease lock-down since mid-May, a survey from polling firm GfK said, Friday.
The GfK released its third COVID-19 flash report, using data gathered between May 20 and 26, which showed that the long-running consumer confidence index has decreased by two points over the past two weeks.
Consumer confidence index dropped across key measures to -36, just three points shy of the historic low of -39 in July, 2008, the survey said.
“Against a backdrop of falling house prices, soaring jobless claims, and with no sign of a rapid V-shaped bounce-back on the cards, consumers remain pessimistic about the state of their finances and the wider economic picture for the year to come,” said Joe Staton, GfK’s client strategy director.
However, the survey found latent demand among shoppers for big-ticket items, while most outlets remain closed. The only bright spark is the Major Purchase Index with a six-point fillip, the survey said.
“As the lock-down eases, it will be interesting to see just how the consumer appetite for spending returns in a world of socially-distanced shopping and the seismic shift to online retailing – alongside worries of a fresh spike in COVID-19 cases as relaxations increase,” Staton said.
According to the government’s three-step plan to lift lock-down, from May 13, workers who are unable to work from home can travel to work, if their workplace is open. Outdoor markets and car showrooms are allowed to reopen from June 1 in England, and all non-essential retailers will be able to reopen in England from June 15.
The government published new guidance for the retail sector to meet the necessary social distancing and hygiene standards.– NNN-AGENCIES
