Nationwide: Consumer confidence in economy is collapsing | This is Money

Nationwide: Consumer confidence in economy is collapsing | This is Money

Rising inflation and fears the economic situation is worsening severely demoralised consumers in February, new figures show.

The Nationwide's consumer confidence index tumbled 10 points to 38 – its lowest point since it began in May 2004.
The deep gloom, which also sent the measure of spending attitudes to a record low of 52, is likely to further dim prospects of an early rate rise by the Bank of England.

The catastrophe in Japan has led to speculation the monetary policy committee will be more likely to hold fire on rate rises in the near term despite growing inflationary expectations.