MNI: UK Apr Consumer Conf Down; Gives Back Most Mar Rise: GfK

--UK April GfK Consumer Conf Index -9 Vs -7 March

     LONDON (MNI) - UK consumer confidence reverted back into the range seen for

much of the past year in April, failing to build on the three-point gain last

month, a survey by GfK found.

     The GfK Consumer Confidence Index (CCI) fell by two points to -9 in April,

down from -7 in March, which was the best outturn since May 2017. The result

means the headline index, dragged down by a weaker perception of households'

personal finances, has been without a positive reading for 28 consecutive

months. 

     "Despite the headline news proclaiming that UK wages rose faster than

inflation, that there's no imminent interest rate rise on the horizon, and that

we enjoy record high levels of employment, the Index continues to bump along

stubbornly in negative territory with a two-point slide to -9 this April," Joe

Staton, Head of Market Dynamics at GfK, said. 

     "There is a steep decline this month in the numbers concerning our personal

financial situation - for both the past 12 months and the year ahead. This is

the measure relating to security in our day-to-day finances and propensity to

shop, spend and plan for their future. There's little evidence of optimism in

that respect," he added. 

     Leading the outcome in February was a more pessimistic outlook on

households' personal finances over the next 12 months. The measure fell six

points to +4 and was accompanied by a downgrade to general confidence in the

economy. The index for the general economic situation over the next 12 months

fell by 2 points to -24 and remains stuck deep in negative territory and below

the April 2017 result of -21.

     --MAJOR PURCHASE PICK-UP

     The Major Purchases Index, an indicator of consumers' propensity to buy big

ticket items in coming months did rise on the month, up 1 point to +3, but

remains a fair bit below the level set this time last year (+7). 

     Elsewhere, while consumers still felt it was a good time to save the

strength of this sentiment softened. The GfK Savings Index, not a component of

the headline index, dropped three points to +10 but remains comfortably above

the year-ago level of +1.  

--MNI London Bureau; +44 203-586-2226; email: jamie.satchithanantham@marketnews.com

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