British consumer sentiment improved in October, with GfK’s index rising to -17 from -19 in September, matching August 2025 and the joint-highest level since August 2024. The gain comes ahead of peak-season discounting and follows a difficult spring for household mood.
UK consumer confidence October 2025: big-ticket appetite returns
GfK’s major purchase index increased by four points in October. GfK’s Neil Bellamy linked the improvement to early-month sales events, including Amazon’s Prime Big Deal Days on October 7 to 8.
Households reported better views of the general economy and their own finances over the last year, but their expectations for personal finances over the next 12 months deteriorated.
Households are still building buffers. The household saving ratio increased to 10.7 percent in Q2 2025, from 10.5 percent in Q1 2025, according to the national accounts. The Office for National Statistics also maintains a time-series that shows the Q2 2025 estimate at 10.7 percent.
Budget timing adds risk for retailers
The Budget will be delivered on November 26, 2025, the government has confirmed. Markets and analysts expect potential tax measures, a factor that has weighed on sentiment in recent weeks. Reuters has highlighted expectations of tax rises and noted that the Budget lands just before Black Friday promotions, a critical sales period for retailers.
