UK consumer confidence rises six points in July

British consumer confidence rose sharply in July, recording its largest monthly improvement in over two and a half years, according to a closely watched survey released on July 24. The GfK Consumer Confidence Index increased six points to minus 17, up from minus 23 in June, marking the highest level since January and the biggest month-on-month gain since November 2023.

The survey, conducted between July 1 and July 14, captured a wave of optimism attributed to a combination of summer heatwaves, the FIFA World Cup, and the prospect of a fresh start in British politics. Analysts said the sense of political change following the election of Andy Burnham, who became Prime Minister on July 20, likely accounted for a significant portion of the bounce. The polling period concluded before Burnham entered Downing Street or announced any new policies.

All key sub-measures of the index showed improvement. Households' assessment of the general economic situation over the past year jumped 10 points to minus 39, the highest level since late 2024. Expectations for the economy over the coming 12 months rose eight points to minus 28, representing the most optimistic outlook since October 2024....