Homeowners’ concerns about home values have quashed any reassurance from the government’s freeze on energy bills in a bid to weaken consumer confidence for another month, according to a survey.
The YouGov/Centre for Economics and Business Research (Cebr) composite index fell 1.1 points in September — the lowest level since January 2013 excluding April and May 2020.
Homeowner confidence in the value of their home saw its sharpest decline since the early days of the pandemic, falling 5.6 points to 124.8 to lower the headline count.
Consumer perceptions of their personal finances fell slightly over the past 30 days to 56.5 from 57.2, although the outlook for the next 12 months improved 1.3 points to 43.1 after Prime Minister Liz Truss lifted energy bills to 2,500 A typical household froze £ per year.
Among workers, respondents were more likely to report greater job security over the past 30 days, even as prospects crept downward.
Employees were also more likely to report a deterioration in business activity, down 0.7 points.
Emma McInnes, Global Head of Financial Services at YouGov, said: “For the third straight month, homeowners’ views of the value of their property have fallen and we may continue to watch this decline amid speculation of rising interest rates in the coming months became. ”
She said it was “notable that confidence in household finances and job security is increasing, but this has been offset by a continued sharp decline in confidence in home values”.
Kay Neufeld, Head of Forecasting and Thought Leadership at Cebr, added: “With the exception of April and May 2020, the index value is now at its lowest level since January 2013 as consumer confidence remains under pressure due to various factors.
“The ongoing cost-of-living crisis has anchored perceptions of household finances at rock bottom, while a second monthly decline in workplace activity indicators suggests that economic activity in general is slowing.
“Moreover, rapidly rising interest rates going forward pose a real threat to the property market, as evidenced by the decline in both indicators related to property values.”