The latest Consumer Eye survey conducted by News International Commercial has revealed a decrease in consumer confidence compared to three months ago. Despite the economy rising out of the recession, consumer confidence has dropped by -5 (from -23 to -28) points in this latest wave.

Factors contributing to the decrease include post Christmas debt (taking an average of 2 months to pay off) and increased fuel costs due to the cold snap. There was also a level of uncertainty about the coming twelve months and the upcoming general election.

With a focus on the post-recessionary consumer, the survey revealed that nearly half of all respondents have been affected by the recession and 55% have chosen to make cutbacks wherever possible. This indicates the emergence of a new consumer as 48% have changed their shopping habits.

The Consumer Eye showed three main consumer attitudes and trends from the study - luxury, frugality and value. 44% of consumers now perceive value differently with 70% believing that value is now 'getting good quality' and 69% ‘getting something that ‘lasts’.  70% of quality newspaper readers feel that good quality foods and holidays are still an essential as is Sky TV.

Claire Myerscough, business intelligence director, News International Commercial said: ”The latest wave shows that consumers are continuing to adjust their spending due to a backdrop of economic and political uncertainty. Frugality is still a key theme in consumer spending although many are willing to pay for products that deliver a quality benefit or durability.”