Consumer gloom hits new low

LONDON (ShareCast) - Consumers grew more pessimistic during July, with confidence at its lowest since records began as house prices continue to fall, fuel remains costly and energy bills soar.

A GfK NOP survey revealed consumer confidence dropped to -39 this month, down 5 points from June's read to register its gloomiest read since 1974. It's also 4 points worse than the read for March 1990.

"With the growing specter of the UK going into recession, people are pessimistic and concerned about their future," said the pollster's 'Donna Culverwell.

"With the cost of living still on the increase, the housing market in a depression and reports of possible further increases in energy prices, levels of confidence amongst consumers are not surprisingly low, especially amongst women or those over the age of 50," she added.

Expectations for the general economic situation during the next 12 months fell another seven points to a lowest-ever -52, while the personal financial situation index was down 9 at -18.

Source: http://uk.biz.yahoo.com/080731/214/i44e9.html