Summer confidence boost fails to materialise for firms or consumers
The summer sun did little to boost confidence among businesses or consumers in July, according to data to be published today.
British businesses confidence remained unchanged during July, a survey of 1,200 firms by Lloyds Bank will show, while a long-running GfK poll will show a further dip in consumer confidence.
The Lloyds index remained unchanged at 29 per cent in July, with the balance of firms expecting stronger trading prospects falling by one percentage point to 34 per cent.
However, economic optimism rose by two points to 25 per cent in for the month, albeit still lower than the start of the year.
The GfK barometer fell back to a negative reading of 10, its joint lowest since December. The measure has remained at or below zero constantly since February 2016, as consumers have taken fright over their personal finances and the broader economy.
The figures are corroborated by a separate measure of confidence from Yougov and the Centre for Economics and Business Research (CEBR) to be published today which also show confidence below the levels seen before the EU referendum.
Britons appetite for major purchases has also fallen back, after a brief recovery, the GfK show.
Joe Staton, client strategy director at GfK, said: “In the medium-term, and during the uncertainty in the run-up to the UK leaving the European Union in eight months, it is hard to forecast what kind of good news will change the numbers from negative to positive, or indeed where such good news would originate.”