Jump to content
House Price Crash Forum
Sign in to follow this  
interestrateripoff

Gloomy Consumers Put Big Purchase On Hold

Recommended Posts

http://www.guardian.co.uk/business/2011/aug/25/consumer-confidence-nationwide-building-society-survey

UK consumers are putting spending on big ticket items on hold as they grow gloomier about the outlook for the economy and their own finances. A report released by the Nationwide Building Society on Thursday showed that Britons were feeling more pessimistic even before the effects of the riots and the financial turbulence.

In its monthly health check of consumer sentiment, Nationwide found that confidence had slipped back to the levels seen at the start of the year and that there was little prospect of improvement in the rest of 2011.

Robert Gardner, Nationwide's chief economist, said: "There was a small dip in consumer confidence in July, reflecting increased uncertainty around the outlook for the UK economy. At 49 points, the main confidence index remains well below its long-run average reading of 79."

My big ticket spending is on hold because I have no need to buy anything.

Share this post


Link to post
Share on other sites

Looks like this Bloomberg article is referring to the same Nationwilde survey.

Some interesting comments about the housing market. Sounds to me like people are still being too optimistic about house prices, if they think they are only going to decline 0.4% over the next 6 months though.

And note how they are already blaming gloomy news on the riots.

http://www.bloomberg.com/news/2011-08-24/u-k-consumer-confidence-declines-to-three-month-low-as-recovery-falters.html

U.K. consumer confidence fell to a three-month low in July as Britons grew more pessimistic about the outlook for the economy, Nationwide Building Society said.

An index of sentiment declined 2 points to 49 from June, the lowest reading since April, the Swindon, England-based customer-owned lender said in an e-mailed report today. A gauge of consumers’ future expectations for the economy in the next six months slipped 3 points to 67.

Confidence may drop further after the U.K. had its worst rioting since the 1980s and concern about the European debt crisis and a cooling global economic recovery wiped trillions of dollars off equity markets, Nationwide said. The Bank of England kept its benchmark interest rate at a record low this month as the faltering recovery outweighed the risk of inflation.

“With the economic recovery still facing strong headwinds, it is unlikely that we will see any considerable improvement in confidence in the remainder of 2011,” said Robert Gardner, Nationwide’s chief economist. “With consumers continuing to expect a fall in house prices over the next six months, it is perhaps unsurprising they are expressing reservations toward making substantial financial commitments at the present time.”

Job Woes

U.K. inflation is outpacing wage growth, putting pressure on household incomes at a time when government budget cuts are fueling concerns about rising unemployment. Britons’ pay growth was unchanged at 2.5 percent in the three months through July from the previous quarter, Incomes Data Services said today, while consumer-price gains were an annual 4.4 percent.

A gauge of whether Britons think it’s a good time to buy household goods or make major purchases such as a car or a home fell 1 point to 73 in July, Nationwide said. A measure of their view of the current economic situation was unchanged at 23.

Today’s report showed that Britons became more pessimistic about the housing market last month. They expect the value of their home to drop 0.4 percent in the following six months, compared with a prediction of a 0.3 percent decline in June.

Nationwide questioned 1,000 people for the survey between June 27 and July 24. 2

Share this post


Link to post
Share on other sites

I'm not joking when I say this...I went to Tesco in Northampton on Monday evening. There was a lot of bread left. I wouldnt expect them to have re-stocked it Monday night. Maybe people are putting the purchase of food on hold !!!

Edited by TheCountOfNowhere

Share this post


Link to post
Share on other sites

Well people still seem to have enough spare cash to spend on fish eating away the dead skin from their feet. What the hell is it with these places, people not heard of a pumice stone before? :blink:

You'd think in a downturn stuff like this, nails bars, expensive coffee shops, ect, would be closing down.

Share this post


Link to post
Share on other sites

Some interesting comments about the housing market. Sounds to me like people are still being too optimistic about house prices, if they think they are only going to decline 0.4% over the next 6 months though.

Never ceases to amaze my how optimistic Brits are with regards to housing. The whole economy can be burning down but yet most seem to believe the housing market will somehow be just fine and dandy. Trouble is the Govt. keep making it so :angry:

Share this post


Link to post
Share on other sites

Interestingly I'm wondering if I should replace my AAD in my skydiving rig, its £1000. But lasts 20 years...... but its still £1000 which is a fair amount to fork out in one go....

Btw it is a small computer you wear in your rig so that if you are travelling more than 32mph by 1000ft it opens your reserve for you. However this can actually cause problems like two canopies out at the same time causing a down stream.

Share this post


Link to post
Share on other sites

Well people still seem to have enough spare cash to spend on fish eating away the dead skin from their feet. What the hell is it with these places, people not heard of a pumice stone before? :blink:

You'd think in a downturn stuff like this, nails bars, expensive coffee shops, ect, would be closing down.

I know what you mean. I stopped buying coffee shop coffee when i realised they were asking £2.40 for something I can make myself for 10p and £3.60 for a cheese and ham toastie ( or as they are known to the f**kwits that but them....a Panini ). Plenty mugs still buying it though ( excuse the pun )

Edited by TheCountOfNowhere

Share this post


Link to post
Share on other sites

Well people still seem to have enough spare cash to spend on fish eating away the dead skin from their feet. What the hell is it with these places, people not heard of a pumice stone before? :blink:

You'd think in a downturn stuff like this, nails bars, expensive coffee shops, ect, would be closing down.

I agree. It doesn't make sense.

I just cannot believe how this latest fishy craze, plus those nail bars, tanning salons and coffee bars carry on doing so well, when people are supposed to be short of cash and unable to afford to pay their bills and buy food. :unsure:

Share this post


Link to post
Share on other sites

My big ticket spending is on hold because I have no need to buy anything.

Then you're another selfish fool dooming us to economic oblivion. Britain needs YOU to waste money on tat that you don't need and don't really want.

Share this post


Link to post
Share on other sites

I agree. It doesn't make sense.

I just cannot believe how this latest fishy craze, plus those nail bars, tanning salons and coffee bars carry on doing so well, when people are supposed to be short of cash and unable to afford to pay their bills and buy food. :unsure:

The worlds oldest profession? The workers need to keep looking their best to keep attracting customers?

Share this post


Link to post
Share on other sites

Then you're another selfish fool dooming us to economic oblivion. Britain needs YOU to waste money on tat that you don't need and don't really want.

Perhaps I should buy another TV then :P Mine's nearly a whole 12 months old must be useless by now.

Share this post


Link to post
Share on other sites

Perhaps I should buy another TV then :P Mine's nearly a whole 12 months old must be useless by now.

Oh and don't forget size is important.

Has to be at least 50 inches I believe now.

And it has to be a 3D one with viewing goggles.

Share this post


Link to post
Share on other sites

My big ticket spending is on hold because I have no need to buy anything.

My big ticket spending has been on hold for more than half my life. Though I guess you could split it into phases: time abroad and time failing to run a business were time off from being 'on hold', and time since 2005 held off buying into a stupid bubble.

Share this post


Link to post
Share on other sites

After the riots and in view of the way the police stood back and watched the looting and arson without lifting a finger to intervene, I resolved to spend as little as possible from now on - it's only worth spending money on possessions if you live in a stable, civilised country.

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...
Sign in to follow this  

  • Recently Browsing   0 members

    No registered users viewing this page.

  • 343 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.