81 percent of UK consumers were confident in their job security in August, a record high, suggesting that many of the population do not expect to feel the impact of Brexit.
The figure is up from 77 percent in July, according to Lloyds Bank’s latest Spending Power Report. The monthly survey tracks spending habits and consumer confidence and showed four-in-five consumers believe their job security is either “excellent”, “very good” or “somewhat good”.
The survey showed that two-thirds of consumers felt positive about their own personal finances, a surprising 2 percent increase on this time last year. However a higher number still hold negative sentiment towards the financial situation in the country as a whole, suggesting the after-effects of Brexit have not been forgotten. 42 percent of those surveyed feel positive about the country’s financial situation, a slight increase on July’s 38 percent.
Robin Bulloch, Managing Director, Lloyds Bank commented on the survey: “The prospect of leaving the EU continues to dominate political discussions and much of the media – with little certainty over what this will mean in practical terms for households and consumers.
“In the meantime, whatever the opportunities and risks of the referendum result, it is encouraging to see such confidence in the jobs market in particular. The overarching message from UK consumers is one of cautious optimism, which explains an increasingly careful and judicious approach to future spending plans.”
The figures come just after a 39,000 drop in unemployment on the previous quarter, showing an optimism towards the economy across the board.
Millions have under £100 in savings
However, general positivity over the economy – combined with record low interest rates – has meant less of the population are saving for a rainy day. According to the Money Advice Service’s latest figures, more than 16 million people in the UK have savings of less than £100.
Nick Hill, money expert at the service, said, “These figures show the millions put at risk by the saving gaps in the UK.”
“For some on low incomes, saving is a real challenge as they may simply lack the income needed to save at all.”