Households' pessimism about finances hits six month high as rate rise fears bite

clock

UK households felt under increasing financial pressure in July and expected their finances to deteriorate over the coming year, a new survey suggests.

Fears of an early rise in interest rates are behind the decline financial confidence, according to the Markit Household Finance Index, the Daily Mail reports. The index, which measures households' perception of their current and future financial situation, fell to 42.1 in July from 42.6 in June, the lowest in six months - a reading below 50 indicates pessimism. > Read: Jupiter duo warn of ‘disruptive events' in next 12 months < British households said this was the worst time to make a major purchase than at any time since the beginning of the year, according to financial data firm M...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Economics / Markets

Five years on from Covid: What's next for markets?

Five years on from Covid: What's next for markets?

It is now five years since the start of the UK’s Covid lockdown. Since then, we have seen considerable market and geopolitical-related change. Here, William Marshall looks back over the past five years and also explores what we might expect from markets...

William Marshall
clock 06 May 2025 • 4 min read
Gilt yields fall after Donald Trump backs down in 'tariff war'

Gilt yields fall after Donald Trump backs down in 'tariff war'

US president pauses most additional tariffs

Jonathan Stapleton
clock 10 April 2025 • 2 min read
Reeves defends yearly Budget to avoid 'constant chopping and changing'

Reeves defends yearly Budget to avoid 'constant chopping and changing'

Treasury Committee scrutinises chancellor on Spring Statement

Isabel Baxter
clock 02 April 2025 • 3 min read