Period covered: June 24Published: June 27, 2024Read time: 1min

Consumer Sentiment Monitor

Consumer Sentiment Monitor - June 2024

Dr Kris Hamer | Director of Insight | British Retail Consortium

“The latest results reveal a slowdown in consumer optimism compared to recent months. Since the launch of our Consumer Sentiment Monitor in March, there had been a gradual improvement in consumer sentiment towards both the UK economy and personal finances. But as the General Election campaigning got underway, the latest survey results indicate a decline in positivity. Nonetheless, younger consumers remain more optimistic than older generations about economic improvement.

Attitudes towards personal finances have also deteriorated, with more consumers expecting their financial situation to worsen and fewer expecting improvements in the coming months. Overall debt levels have climbed, with 50% of consumers reporting some form of debt, with debt particularly pronounced among Millennials.

Consumer spending plans remain steady compared to last month. About half of consumers intend to spend the same, while over a quarter expect to spend more. And despite the economic pessimism, nearly half (48%) of consumers plan to take a holiday over the summer, with average spending projected at £1,464, increasing to £1,600 for Millennials.

Despite waning optimism, the consistency in spending plans indicates a resilient consumer base willing to maintain or increase expenditure. Retailers seeking to capitalise on this are offering value-driven promotions and personalised experiences that resonate with consumer needs.”