UK Consumer Confidence Plummets Amid Rising Costs

2025-04-27 08:06:14

(MENAFN) UK consumer confidence has fallen to its lowest point in over a year, a new survey revealed on Friday. The decline is attributed to escalating household bills, tax hikes, and concerns that U.S. tariffs may further elevate living costs for Britons.

According to data, the consumer confidence index dropped by four points to -23 in April, marking its lowest level since November 2023. This was significantly worse than the anticipated decline to -21.

The consumer confidence index, which measures public sentiment on various economic factors, ranges from -100 to +100. Positive figures indicate optimism, while negative readings signal widespread pessimism.

This index is closely tracked by both the UK government and the Bank of England as a key economic indicator.

The drop in confidence signals growing economic unease in the UK, impacted by a combination of domestic tax hikes, rising living costs, and heightened fears of U.S.-imposed tariffs. The U.S. currently levies a 10% tariff on most UK goods, with even higher tariffs on steel, aluminum, and automotive exports. Although the UK and the U.S. are in the midst of trade negotiations, U.S. President Donald Trump has temporarily paused the tariffs for 90 days.

MENAFN27042025000045017169ID1109477717

Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.