Consumer confidence improves along with business
Following recent surveys that indicate business confidence is at a high in 2014, Lloyds Bank has released a report showing that consumer confidence has also improved.
The Spending Power report shows that 57% of those interviewed believe their financial situation is ‘excellent’ or ‘good’, and that they will be better off in six months’ time. January also saw the greatest improvement of confidence in the economy.
Figures also show that more people were inclined to save than spend their extra cash. Director of personal current accounts at Lloyds, Philip Robinson, said: ‘With consumer sentiment continuing its upward trend, together with the highest positive levels seen to date towards personal finances, 2014 continues to show signs of a more stable year’.
With inflation still below the Bank of England’s 2% target, both consumers and businesses are now looking forward to a rewarding year. Hopes are high that wage growth will be able to overtake the rising cost of living, further contributing to the sense of wary optimism about the coming year.