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05/03/2009 13:29:54

Nationwide reveals consumer confidence rise

Despite the ongoing effects of the economic downturn, the nation's outlook regarding their financial situation has improved slightly.

The latest Consumer Confidence index released by Nationwide reveals an overall score of 43 for February, an increase of two points from the 41 recorded during the previous month.

Such a figure also represents the first increase to have taken place since October 2008.

Overall, people's increase in confidence in their ability to manage their money was driven by the expectations sub-index, with rose from 52 in January to 57 in February.

Meanwhile, just under a fifth (19 per cent) of Britons believe the economic conditions will be in stronger position in six months' time.

"Consumers' views about the current economic and labour market conditions are in line with the recessionary climate in the UK. However, their increased optimism about the future is encouraging," states Fionnuala Earley, chief economist for Nationwide.

However, a significant proportion of people remain concerned about their capacity for money management as a recent Financial Outlook study by Virgin Money indicated 29 per cent of people expect that their income will decline over the next 12 months.

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