The GfK consumer confidence index has fallen by five points to -22 this month.
The index has shown sharp falls in consumer views on the wider UK economy when looking back over the last year (down seven points to -46) and looking ahead to the coming year (down eight points to -34).
The forecast for personal finances over the coming year has fallen three points to -2, while the major purchase index was down four points to -20.
Neil Bellamy, consumer insights director, NIQ GfK, said: “New Year is traditionally a time for change, but looking at these figures, consumers don’t think things are changing for the better.
“These figures underline that consumers are losing confidence in the UK’s economic prospects. While the savings index on motivation to save money is not included in the calculation of the overall index score, it’s notable that it has leapt nine points in January to +30.
“This sharp increase is unwelcome because it’s another sign that people see dark days ahead and are therefore thinking of putting money aside for safety.”
