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A green shoot?

Douglas Fraser | 07:06 UK time, Wednesday, 4 March 2009

Would you buy a used car from this recession? Apparently, quite a lot of us would.

A new survey of public opinion shows the number of people thinking this is a good time to buy a major purchase, such as a house or car, has risen steeply with the start of the year, while the 'bad time to buy' figure has fallen.

There's less change in confidence about buying household goods such as major kitchen appliances.

But it's clear that the bargains available from troubled retailers are feeding into public consciousness, and for those confident about their future income, i.e. their jobs, this looks like a good time to spend.

The UK-wide survey, for Nationwide building society, reflects a very low opinion about the state of the economy now, but shows some signs that people have expectations of things getting better within the next six months.

The headline consumer confidence index, after falling steeply for the past year, saw an uptick in February. It was at 76 last February, reaching 41 in January and up to 43 last month.

Expectations of the jobs market remain poor, according to the Nationwide results.

And in another new survey, there is further evidence that the so-called 'lagging indicators' of the employment markets are far from showing green shoots.

KPMG is behind this monthly survey of 400 recruitment and employment consultancies, which has found vacancies contracting at the fastest pace in the survey's history, and likewise, record reductions in the wages and salaries on offer, for both permanent and temporary posts.

If you're looking for a career change, the only growth sector is in nursing, medical and care.

Comments

  • Comment number 1.

    Michael Grade was pontificating on the Today programme this morning Douglas about how the cycle will turn just as it has always has but this time round I'm not so sure. The bursting of a bubble at the end of a multi decade super cycle seems to be much more thing as it is shaping up at the moment. But life goes on and cars are cheap. But thinking about buying one and actually doing it are two completely different things. It will be interesting to see what happens. In the meantime I am sitting on my wallet.....just like everyone else.

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