Consumer confidence at lowest level since UK voted for Brexit, survey reveals

An EU flag flying in front of the Houses of Parliament. (Victoria Jones/PA Wire)

CONSUMER confidence has slipped to its lowest level since the month after the EU referendum, according to a survey.

Confidence fell by 0.2 points to 107.9 to its lowest score since July, immediately after the UK voted for Brexit, the latest data from YouGov and the Centre for Economics and Business Research (Cebr) shows.

Although a score over 100 shows more consumers are confident than unconfident, the index has yet to get back to the levels it was at before June’s referendum, YouGov and the Cebr said.

It found homeowners’ expectations for house values over the past month were unchanged, while they had become slightly more optimistic about property prices over the coming year.

The most notable fall came in people’s household financial situation over the past month, which slipped to the lowest level since December 2014, while expectations for household finances over the next 12 months also fell.

Workers’ job security perception over the last 30 days is now at its lowest level since April 2013.

Nina Skero, head of macroeconomics at the Cebr, said: “Consumer confidence continues to decline and every month it is getting closer to the level it was at immediately after the EU referendum.

“The most concerning aspect in the numbers is the continuing decline in people’s household financial situations.

“Both forward and backward-looking measures are at their lowest level for a number of years and it doesn’t take much for a tightening of purse strings to lead to a slowdown in the economy.”

Stephen Harmston, head of YouGov Reports, said: “After several jolts over the past year, consumer confidence is now treading a straighter path, albeit one that heads gently downwards.

“It looks like this may be the point where the slowing GDP figures start to translate to people’s everyday lives.

“The figures indicate that they are starting to experience a downturn, as shown by the fall in both household finances and job security over the past 30 days.

“Property prices remain resolute, but they are currently the main thing giving consumers confidence.”