With the Budget not as bad as feared for households, confidence saw a slight uptick in December, says the British Retail Consortium (BRC).

According to BRC-Opinium data, consumer expectations over the next three months show the state of the economy improved to -38 in December, up from -44 in November.

Their personal financial situation improved to -10 in December, up from -16 in November. Their personal spending on retail fell to +6 in December, down from +8 in November.

Their personal spending overall rose to +17 in December, up from +14 in November. Their personal saving fell to -9 in December, down from -5 in November.

Within the categories, consumer expectations over the same period for spending on home and garden furniture are down -16%, widening from -15% the previous month, while DIY and home improvements were down at -6%, declining from -7%.

Helen Dickinson, Chief Executive of the British Retail Consortium, said: “The overall picture remains gloomy, with confidence in the economy stuck below -30 for eleven out of last twelve months. Expectations for retail spending continued to slide for the third consecutive month, proving challenges remain in the year ahead.

“Government needs to pull the levers of growth, tearing down red tape and bureaucracy to allow businesses to flourish and create more jobs. From the Employment Rights Bill to rules on less healthy foods, the Government must consider the cumulative impact of its policies on business, ensuring new regulations are workable and do not punish responsible businesses.”