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Consumer confidence tumbles

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11/01/2006

Consumer confidence fell sharply in December 2005 as people’s assessment of their financial circumstances and their willingness to spend tumbled.

According to Nationwide’s latest consumer confidence index, retailers’ satisfaction with Christmas sales may give way to gloom if shoppers stay away from the high street.

The overall confidence index fell by five points to 96 last month, close to the lows of the range it has moved in over the past six months.

The present situation index, where people are asked how they view the economy and their job prospects, fell 10 points to 91, its lowest ever.

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