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consumer confidence Small gain in January, driven mainly by household ‘resilience’ rather than optimism about economic outlook economydigital display.
GfK’s long-term consumer confidence index rose 1 percentage point to minus 16, marking 10 years since the last time the index was positive.
Confidence in personal finances next year rose 4 points to 6 points, 8 points higher than the same period last year.
However, expectations for overall economic conditions over the next 12 months fell 2 percentage points to minus 31, although this was 3 percentage points higher than in January last year.
The Major Purchases Index, a measure of confidence in buying big-ticket items, rose one percentage point to -10, 10 percentage points higher than last year.
Neil Bellamy, consumer insights director at GfK, said: “January 2026 marks an unexpected anniversary, marking 10 years since consumer confidence was last in positive territory.
“Although the overall confidence index rose one percentage point this month to minus 16, we are still a long way from consumers feeling that better times are ahead.
“Yes, perceptions of personal finances have improved, but this is offset by growing concerns about the economy.
“We’ve seen this pattern before. During times of political and economic uncertainty—especially in late 2022—consumers become more cautious, but also more self-reliant.
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“What we’re seeing now is a return to that mentality: people feel they can manage their finances, but they remain unconvinced about the broader economic outlook.
“Let’s be clear, this is not optimism; this is resilience.
“Consumers are once again focused on what they can control – their own spending and savings – while confidence in the overall economy remains low.
“For many consumers, the UK economy is starting to look like an untethered boat, slowly drifting out to sea.”