Consumer sentiment slides on renewed inflation fears
By Abigail Townsend
Date: Monday 20 Apr 2026
(Sharecast News) - UK consumer sentiment deteriorated in April, a long-running survey showed on Monday, as conflict in the Middle East reignited inflation fears.
The latest S&P Global consumer sentiment index (CSI) came in at 42.3, down on March's 44.1 and the lowest print for 33 months.
Within that, the household finance index fell to 39.6 from 41.5, while the labour market sentiment index dropped 1.8 points at 49.3, the first time it has turned pessimistic since July 2023. The spending and debt indices were also weaker.
Readings above the 50 no-change level indicate an improvement while those below it suggest deterioration.
The decline in sentiment has been triggered by the outbreak of war in the Middle East, which has sent global energy prices soaring and reignited concerns about both inflation and interest rates. The Bank of England had been expected to cut the cost of the borrowing this year, but at its March meeting left Bank Rate unchanged and said it "stood ready" to tackle any uplift in inflation.
Maryam Baluch, economist at S&P Global Market Intelligence, said there was "growing unease" among British households.
She continued: "Increased energy-market disruption raises the odds of further spikes in fuel and utility bills, with headwinds keeping the near-term inflation stickier than policymakers would like. Against this backdrop, households' rate expectations have turned more hawkish.
"The strain on finances and an uncertain central bank policy outlook is showing up in consumer behaviour as households bear down on spending, particularly big ticket items, while running down savings at the fastest pace in a year."
The CSI, which has been running since 2009, is based on a panel of 1,500 UK households. The latest data were collected between 9 and 13 April.
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