British consumer confidence remained at low level in July as hosting of Olympics failed to offset consumers' concerns about their personal and general economic situation.
Market research agency GfK NOP said that the consumer confidence index was at -29 in July, unchanged from June and May. However, the reading was better than -30 in July last year.
"Consumer confidence has been stuck between -29 or -31 for the last seven months. This is a clear indication that all attempts by the Government to improve the situation in the UK aren't making any impressions on the public mood," GfK Managing Director of Social Research Nick Moon said.
Official data showed that the economy contracted 0.7 percent in the second quarter, the steepest pace in three years.
"It is not surprising therefore that the Index has remained the same this month, as consumer confidence remains as stagnant as the economy," Moon noted.
The index measuring changes in personal finances during the last twelve months has stayed the same this month at -23. The expectations for personal finances over the next twelve months has increased one point to -8.
The measure for the general economic situation of the country during the last twelve months decreased one point to -59, while forecast for the general economic situation over the next twelve months increased one point to -30.
The major purchases measure has increased by two points, while the measure of savings intentions decreased four points to -15.
A survey by the Confederation of British Industry (CBI) released Monday suggested that the retail sales growth would remain sluggish in August despite an expected boost from Olympics.
by RTT Staff Writer
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