Jacobs Media Group is honoured to be the recipient of the 2020 Queen's Award for Enterprise.

Consumer confidence at highest level since tracker began

16 July 2018 by
Consumer confidence at highest level since tracker began

The Deloitte consumer tracker has shown consumer confidence at the highest level it has ever recorded.

Overall consumer confidence is at -3%, an improvement on last quarter's -6% and a six point improvement year-on-year.

Confidence in levels of disposable income are at -11%, better than the -15% seen in the previous quarter and a sharp increase of 13 points year-on-year.

Deloitte reports that May's retail sales growth was the highest in 17 months, however this was heavily linked to online sales.

Despite optimism amongst consumers Deloitte reports that businesses are "placing as much emphasis on defensive strategies as they did during the height of the euro debt crisis in 2012 and immediately after the EU Referendum".

A squeeze on consumer spending in 2017 and increased cost pressures have hit bricks and mortar retailers and Deloitte predicts the average vacancy rate in shopping centres will be more than 25% in 2020.

Pessimism over the long-term impact of Brexit among business leaders was to be at its highest level since Deloitte began tracking it midway through 2016.

Ian Stewart, chief economist at Deloitte, said: "Consumer confidence has rallied against a backdrop of favourable economic fundamentals. But while consumer confidence is on the rise the mood in business is more cautious reflecting the slowdown in UK growth and Brexit uncertainties.

"Buoyant consumer sentiment reflects a better picture in terms of jobs and wages. Add in warm weather, a royal wedding and a football World Cup, it's not hard to see why consumer spirits have been given a lift."

Consumers cut back on leisure spend at start of year>>

Get The Caterer every week on your smartphone, tablet, or even in good old-fashioned hard copy (or all three!).

The Caterer Breakfast Briefing Email

Start the working day with The Caterer’s free breakfast briefing email

Sign Up and manage your preferences below

Check mark icon
Thank you

You have successfully signed up for the Caterer Breakfast Briefing Email and will hear from us soon!

Jacobs Media Group is honoured to be the recipient of the 2020 Queen's Award for Enterprise.

The highest official awards for UK businesses since being established by royal warrant in 1965. Read more.

close

Ad Blocker detected

We have noticed you are using an adblocker and – although we support freedom of choice – we would like to ask you to enable ads on our site. They are an important revenue source which supports free access of our website's content, especially during the COVID-19 crisis.

trade tracker pixel tracking