British Economic Confidence Plummets to Record Low

LONDON: A recent poll conducted by Ipsos MORI reveals that economic confidence among Britons regarding the upcoming 12 months has reached an all-time low. The survey indicates a prevailing expectation of economic decline within the country.

According to Ipsos, 75% of British citizens anticipate a downturn in the economy over the next year, marking an 8-percentage-point increase since March. Only 7% of those surveyed believe the economy will show signs of improvement during the same period, while 13% foresee it remaining stable.

The resulting net balance of minus 68 signifies the most substantial lack of optimism recorded since Ipsos began gathering this data in 1978. This decline in confidence mirrors previous downturns, including the recession of 1980, the financial crisis of 2008, and the cost-of-living crisis linked to COVID-19, all of which registered a net balance of minus 64.

These findings present a challenge for Labour Prime Minister Keir Starmer, who assumed office last July with the goal of making Britain the fastest-growing economy among the Group of Seven nations.

Gideon Skinner, Ipsos’ senior director of UK Politics, noted that economic pessimism had already risen by 30 percentage points compared to the previous June, even before the latest figures were released. He added that few prime ministers have encountered such a high level of economic pessimism so early in their tenure.

The UK government, which oversees an economy heavily reliant on trade compared to other G20 nations, is actively seeking to prevent the imposition of reciprocal tariffs by the United States through negotiations for a new economic agreement.