{"id":115466,"date":"2025-05-19T22:29:14","date_gmt":"2025-05-19T22:29:14","guid":{"rendered":"https:\/\/www.europesays.com\/uk\/115466\/"},"modified":"2025-05-19T22:29:14","modified_gmt":"2025-05-19T22:29:14","slug":"britons-remain-resolutely-downbeat-on-economy-but-bank-of-england-rate-cut-helps-to-boost-optimism","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/uk\/115466\/","title":{"rendered":"Britons remain ‘resolutely downbeat’ on economy – but Bank of England rate cut helps to boost optimism"},"content":{"rendered":"

By JESSICA CLARK <\/a> <\/p>\n

Updated: 17:00 EDT, 19 May 2025 <\/p>\n

British households remain \u2018resolutely downbeat\u2019 about the economy, a survey reveals.<\/p>\n

Pessimism eased slightly this month but attitudes were in \u2018firmly negative territory amid persistent financial worries\u2019.<\/p>\n

UK consumers reined in their spending due to \u2018limited cash availability\u2019 in May and continued to draw down their savings, the research by S&P Global Market Intelligence found.<\/p>\n

However, the prospect of lower borrowing costs after the Bank of England cut rates this month helped to boost optimism.<\/p>\n

And workers felt more securein their jobs \u2013 a month on from Chancellor Rachel Reeves\u2019s National Insurance hike.\u00a0<\/p>\n

S&P\u2019s UK consumer sentiment index was 45.2 in May, up from 44.5 in April. A score below 50 indicates that households feel pessimistic.\u00a0<\/p>\n

\"Saving <\/p>\n

Saving the pennies: UK consumers reined in their spending due to ‘limited cash availability’ in May and continued to draw down their savings, research found<\/p>\n

Maryam Baluch, an economist at S&P, said: \u2018The main drag on sentiment came from consumer spending behaviour.<\/p>\n

\u2018Households were cautious with their spending due to limited cash availability, which hindered major purchases. Still, rising incomes eased some financial strain.\u2019<\/p>\n

She added: \u2018A change in May is that, on balance, households adopted a dove-ish view on central bank policy.<\/p>\n

\u2018It is hoped that additional easing of monetary policy will stimulate household expenditure and alleviate difficulties in obtaining loans.\u2019<\/p>\n

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\n Britons remain ‘resolutely downbeat’ on economy – but Bank of England rate cut helps to boost optimism<\/p>\n