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Financial News: UK Household Finances Deteriorate In April

UK Household Finances Deteriorate In April

04/23/2018 - 01:16:00 (RTTNews)

(RTTNews) - UK household finances deteriorated at the start of the second quarter, survey data from IHS Markit showed Monday.

The household finance index remained unchanged at 43.2 in March. A score below 50 suggests a moderate deterioration in household finances with the rate of decrease broadly in line with that seen over the last 12 months.

Nonetheless, improving labor market and a fall in inflationary pressures provided some welcome news to families.

Households were generally pessimistic towards financial conditions in the year-ahead. At 47.3 in April, the latest figure was the lowest for five months.

Households reported the strongest increase in workplace activity for 22 months, whilst incomes rose at an elevated pace for the second month running.

At 78.7 in April, the prices index fell to an 11-month low, thereby signaling an easing of current inflation perceptions. Only a small minority of UK households expect a Bank of England rate rise in the next month.

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