Consumers do not appear to have let concerns about the fiscal squeeze affect their spending too much yet. Nonetheless, there are some signs that the spending recovery is starting to lose momentum. And the sheer scale of the looming tax rises and government spending cuts suggest that the outlook for consumer spending remains pretty bleak. We no longer expect consumer spending to start rising next year and instead anticipate several years of stagnating spending.
Subscriber content
Read this in full, free
Start a free trial and use one of your 10 free starter credits to unlock this piece.