According to the latest surveys by the market research firm GfK and Lloyds Bank, the UK consumer and business confidence was hit by the coronavirus pandemic induced government shutdowns and mounting economic risks, as cited by Reuters.
Key findings
“Market research firm GfK said its index of consumer confidence — which was also conducted in the first half of March — slipped to -7 from -9 in February, which had been its strongest level since August 2018.”
Joe Staton, client strategy director at GfK, said: “While we have a long way to drop before we match the devastating numbers seen in July 2008 when the Overall Index Score crashed to -39 points, lockdown Britain can only expect further deterioration.”
“Gfk reported a sharp, eight-point fall in the willingness of consumers to make major purchases.”
Meanwhile, “the business confidence index from Lloyds Bank hit its joint lowest level since the depths of the global financial crisis 11 years ago in the week that started on March 9, touching -3%.
Over the first two weeks of March combined, confidence amongst companies sank by 17 points to 6% and hiring intentions fell 12 points to 4%, Lloyds said.
More than 70% of businesses said they were or would be affected by a coronavirus.”
