Deloitte Consumer Tracker reveals dip in spending
Consumer confidence fell by 1.1% in the final quarter of 2025, according to the latest Deloitte Consumer Tracker.
Its survey of 3,200 consumers in the UK found that confidence dropped from -10% in the third quarter of the year to -11.1%.
The dip was driven by a 2.6% decline in perceptions of debt levels and a 1.4% fall in disposable household income.
As a result, essential and discretionary spending was down year-on-year 7.6% and 5.1% respectively.
The Consumer Tracker also revealed that confidence in career progression came down by 0.9%, but outlook on the wider UK economy improved from -64% to -56%, although this is still 4.4% down on the same period in 2024.
Caution
Céline Fenech, consumer insight lead at Deloitte UK, said: “There’s still a lot of caution among consumers in the UK. While it is encouraging to see consumers’ views of the UK economy improving, likely boosted by the easing of interest rates and inflation, a broader improvement in confidence will require a more significant change in perceptions of affordability and job prospects.
“For now, consumers remain cautious about the economic outlook and, until they can be persuaded otherwise, will continue to hold off parting with their savings and hard-earned cash.”
