FX.co ★ UK Consumer Confidence Weakens in September

In September 2025, the GfK Consumer Confidence Index for the UK fell to -19 from the previous month's -17, not meeting the anticipated figure of -18. This decline is attributed to concerns regarding impending tax increases which have negatively influenced public sentiment. All five confidence measures reported declines, and there was a noted drop in a separate indicator reflecting savings intentions. The sentiment around the economic outlook remained low at -32. GfK has warned that the prospect of tax hikes in the upcoming November budget, proposed by Finance Minister Rachel Reeves, may further weaken confidence. The tax adjustments, scheduled for November 26, aim to align with budgetary targets, following an increase in employer social security contributions from the prior year. Furthermore, Neil Bellamy, GfK's director of consumer insights, remarked that the Bank of England's interest rate reduction in August was insufficient to boost consumer sentiment or alleviate existing financial pressures.