20th Oct 2025 10:04
(Alliance News) - UK household sentiment worsened a bit in October but was still the second-highest since July 2024, data published by S&P Global showed on Monday.
The S&P Global UK consumer sentiment index edged down to 47.4 points in October from 47.8 in September. Falling further below the neutral 50-point mark separating growth from contraction, it indicates the pace of deterioration in UK consumer sentiment accelerated in October.
The spending sentiment index improved a bit to 41.2 in October from 41.1 in September, while the labour market sentiment index fell to 54.2 in October from 55.2 in September.
The household finance index edged down to 47.5 in October from 48.0 in September, while the index on expected finances in 12 months' time was down at 50.4 in October from 50.8 in September, but remaining in growth territory.
"Optimism about the financial outlook was driven by people working in the private sector, while those in the public sector became more downbeat," S&P Global said.
Maryam Baluch, economist at S&P Global Market Intelligence, said: "The autumn is seeing some of the gloom lift from UK households. The survey's overall gauge of sentiment is at its second-highest since July 2024 in October, dipping only slightly from September’s recent high. Not only are views on current finances among the highest recorded by the survey since we started collecting data back in 2009, but households also continue to express optimism regarding their financial outlook for the coming year."
Further, Baluch noted "solid income growth and higher workplace activity", while households finding it easier to access credit.
She cautioned though: "However, it’s clear the cost of living crisis has not yet been beaten. Although incomes are up, households report lower levels of available cash as high bills eat into the amount of money left to spend. The gloom may be lifting, but that's not to say households don't remain under considerable find."
The survey is based on monthly responses from approximately 1,500 individuals in the UK, with data collected by Ipsos MORI from its panel of respondents aged 18 to 64. The responses were collected between October 9 and 13.
By Tom Budszus, Alliance News slot editor
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