The overall index score decreased by one point to -8 in August compared with July’s score, with two measures down, two measures up and one remaining the same.

Expectations for personal finances have held up over the last month, with the index for that measure over the last 12 months up one point at 0, and the forecast for the next 12 months staying the same at +11.

The measure for the country’s general economic situation during the last 12 months increased by one point to -42 in August – 20 points higher than in August last year.

Expectations for the economy in the next 12 months flagged slightly, decreasing by one point to -6 – 36 points higher than it was in August 2020.

Joe Staton, client strategy director, GfK, said: “Against a backdrop of cooling headline inflation and soaring house prices, the UK consumer confidence index is stable at minus 8 this August. Importantly, expectations for our personal financial situation for the coming 12 months are holding up and this bodes well for the economy going forwards this year and next.”

The major purchase index, which tracks whether people think now is a good time to be spending money on more expensive items, decreased by five points to -3. The decrease is “counterbalanced” by a five-point increase in the savings index, said Staton, suggesting people could be considering saving rather than spending. 

Staton added: “With the economy continuing to open up and GDP bouncing back, the overall picture for the economic health of the nation is looking good for the remainder of 2021. There are compelling reasons here to be cheerful as we begin to put the hardest pandemic months behind us.”

The UK Consumer Confidence Barometer is conducted by GfK. Interviewing was carried out between 2^nd-12^th August with a sample of 2,000 individuals aged 16 and over.