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21 July 2025 | Other

UK consumer sentiment drops for first time in 3 years — Deloitte survey

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UK consumer sentiment drops for first time in 3 years — Deloitte survey

A Deloitte survey shows UK consumer sentiment deteriorated sharply last month for the first time in nearly three years. This reflects growing public concerns about job security.

A slowing labor market is hurting consumers. People are growing more concerned about their income prospects. Business owners say they're hiring fewer people because of increased employment taxes that took effect in April.

Official data shows the UK unemployment rate rose to 4.7% in the three months to May, the highest level since 2021. Meanwhile, Reuters reports June inflation accelerated to 3.6%.

However, Deloitte's figures differ from GfK's data, which also tracks UK consumer sentiment. GfK reports June readings rose to their highest level since December 2024.

Elena Dorokhina MarketCheese

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