Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
Settings
Settings
Dynamic quotes 
OFFON

4-Traders Homepage  >  News

News

Latest NewsCompaniesMarketsEconomy & ForexCommoditiesInterest RatesHot NewsMost Read NewsRecomm.Business LeadersCalendar 

UK Consumers Less Pessimistic About Their Own Finances -Survey

share with twitter share with LinkedIn share with facebook
share via e-mail
0
06/24/2013 | 01:16am CEST

By Ilona Billington

LONDON--U.K. consumers were less pessimistic about the economy and their future personal finances in May as better economic news gave them a boost, a survey showed Monday.

The proportion of those feeling better about their finances was higher in the south of the U.K. than in the north, while survey participants also noted that energy bills had risen which likely limited the rise on non-essential items.

The LloydsTSB monthly spending power report consumer confidence index slid one point to 108 in May, meaning it was just below the two-year high of 109 reported in April.

"The recent reports of a return to growth for the U.K. economy are being reflected in improved consumer sentiment, which is good news as better confidence will help to sustain the economic recovery," said Patrick Foley, LloydsTSB's chief economist.

"A gradual easing in the squeeze on consumers from essential spending is helping, although with energy bills increasing again, the improvement in spending power remains modest," Mr. Foley said.

The U.K. economy successfully avoided a triple-dip recession in the first three months of this year after it posted a better than expected 0.3% quarterly gain. And, the better news has broadly continued over the second quarter with data firm Markit's purchasing managers indexes reporting further expansion across the private sector, while unemployment has continued to decline.

One potential problem for the longer term sustainability of the economic recovery remains consumer spending. Its a major part of the economy as it accounts for around 60% of gross domestic product, but with earnings growth hovering around record lows of just 0.9% while inflation is three times that rate at 2.7% there are concerns on how much spending Britons can afford.

The latest figures suggest the squeeze is easing, however, and the LloydsTSB spending report shows that the balance of consumers who expect to have more money after essential spending in the future improved to -6 in May from -9 in April.

The balance is calculated by taking the number who say they think their finances will get worse away from the number who say they will improve.

The survey also showed consumers are becoming less pessimistic on the housing market, which likely reflects the further rise in prices and activity reported in recent months.

Write to Ilona Billington at [email protected]

share with twitter share with LinkedIn share with facebook
share via e-mail
0
Latest news
Date Title
10:54p GLOBAL MEDICAL REIT INC. : Regulation FD Disclosure, Financial Statements and Exhibits (form 8-K)
10:54p TEARLAB CORP : Termination of a Material Definitive Agreement, Submission of Matters to a Vote of Security Holders (form 8-K)
10:54p NOWNEWS DIGITAL MEDIA TECHNOLOGY CO. LTD. : Entry into a Material Definitive Agreement, Unregistered Sale of Equity Securities, Financial Statements and Exhibits (form 8-K)
10:54p QAD : Do You Know How Pet Food and Treats are Made?
10:54p BOARD OF DIRECTOR´S MEETING : June 27, 2017
10:54p ALDF ANIMAL LEGAL DEFENSE FUND : New Mega Dairy is an Environmental Catastrophe for Oregon Residents
10:54p MEDIA ALERT : Ixia on How Organizations Can Block the Increasingly Complex Ransomware Threats
10:53p UPLAND SOFTWARE : Announces Company-Wide Analytics Platform Based on Its ComSci ITFM Application
10:52p SNYDER'S LANCE : Submission of Matters to a Vote of Security Holders (form 8-K/A)
10:51p PUF VENTURES : Responds to Health Canada Letter and Commences Final Facility Upgrades
Latest news
Advertisement
Hot News 
-8.85%ALLIED IRISH BANKS : Ireland could sell more AIB shares after oversubscribed IPO
-1.41%CROWN RESORTS : Casino Executive Sentenced -- WSJ
-7.99%Avis Gets Waymo Driverless Car Deal -- WSJ
5.50%Britain's Travis Perkins names ex-ARM man as chairman
-3.33%Auto supplier Schaeffler cuts profit guidance on steel costs, electric shift
Most Read News
02:48aDJWARREN BUFFETT : Buffett Backs Store REIT -- WSJ
03:38p Wall Street ends higher on technology, energy boost
12:41a CARLOS GHOSN : Nissan says CEO Ghosn's salary rose 2.5 percent last year
02:48aDJDANIEL LOEB : Nestlé and L'Oréal Have Long History, Too Long for Loeb -- WSJ
02:28aDJSTUART CHAMBERS : Travis Perkins Appoints Stuart Chambers as Chairman
Most recommended articles
04:39p BlackBerry seeks sales force to match software focus
04:33pDJU.S. Stocks Slide as Tech Sector Remains Under Pressure
04:17pDJNEWS HIGHLIGHTS : Top Energy News of the Day
04:15p TSX falls as technology, gold mining shares retreat
03:47p Facebook hits two billion-user mark, doubling in size since 2012