Consumer confidence ‘hits 15-year low’

Confidence among British consumer has hit a 15-year low, according to the latest figures compiled by GfK NOP.

The research firm has found that consumer optimism dipped around the country in each of its five assessment categories last month, despite recent cuts in the base rate of interest.

Families around the country are seeing their debt management woes worsen and the attitude toward the economy deteriorated in March for the seventh consecutive month.

“With news reports of possible recession in America, fears of recession in the UK and stock market fluctuations, the consumer’s gloom continues to grow,” said Rachael Joy from GfK NOP.

It is hoped that the recent Budget will give consumer confidence a boost this month, but Howard Archer, chief UK economist at analysts Global Insight, said the latest data strengthens the case for further reductions in the cost of borrowing.

Tim Moss, head of loans and debt at moneysupermarket.com, recently urged anyone who is worried about their ability to pay off their debts to seek advice as soon as they can.