Consumer confidence in the U.K. increased

After Liz Truss' disastrous short term to be Prime Minister, Rishi Sunak is trying to stabilize the economy. For the second month in a row, U.K. consumer confidence figures have shown a positive trend.

In September, Truss's tax cut plan caused a panic in the financial markets. This resulted in a record low Consumer Sentiment Index of minus 49. In November, that figure rose three points to minus 44. That was reported by market research firm GfK Ltd.

Joe Stayton, director of client strategy at GfK said that this month's rise reflects a general feeling of relief as the new Prime Minister takes responsibility after the troubling fiscal turmoil seen in September. He added that changes in external factors are insignificant and bad news is inevitable.

GfK stated that rising interest rates, taxes and rents continue to put pressure on consumers. A year ago, confidence was much higher, and this reflects a jump in food and energy prices. Consequently, living standards are declining and the economy is going into recession.

In preparation for the Christmas and New Year holidays, retailers and hospitality companies are looking for an increase in revenues, which is backed by a GfK report.

Linda Ellett, a consultant at KPMG UK said about the hopes of retail and leisure companies for an indicator of consumer wellbeing. At least it will temporarily increase their spending, despite the growing difficulties or unwillingness to spend money.