"A move up would suggest that the index had indeed ‘paused for breath' after its rise at the end of 2012 and was still heading in the right direction"
-Nick Moon, managing director of social research at GfK
British consumers were less confident about the economic future of their country in April, as inflation extended its run above the Bank of England's goal of 2%, increasing households' concern about their personal finances. A sentiment index compound by the polling firm GfK declined to -27 in April, down from -26 a month earlier and below analysts' expectations, who anticipated reading to be unchanged. In the meanwhile, a gauge of how consumers see their finances over the next year fell to minus 7 from minus 6. Consumer prices stood at 2.8% in March, and it is expected to accelerate even further in the upcoming months, according to the BoE forecast.
"A move up would suggest that the index had indeed ‘paused for breath' after its rise at the end of 2012 and was still heading in the right direction," said Nick Moon, managing director of social research at GfK. The decline "implies the recovery in confidence has stalled, and real recovery looks a long way away."
"No one is talking about green shoots, but there are reasons to think that the worst might be over and a recovery can now begin," a senior Conservative told The Daily Telegraph.
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