'Egg-flation' and our Easter shopping

Are consumers overpaying for Easter treats?

Economic uncertainty can have a significant impact on consumer sentiment and therefore on spending, writes Laura Frost, investment director at M&G Investments.

Despite the uncertainty surrounding Brexit - when and if the UK leaves the European Union - consumers are seeing their incomes rising faster than inflation.  According to the ONS data from March 2019, household income rose 3.4% year-on-year from November to January while the Consumer Price Index (CPI), averaged 2% during that time. In addition, February CPI has fallen further to 1.8%. Inflation edges up to 1.9% on higher food prices However, this is unlikely to result in a splurge at the shops as consumers, like businesses, remain cautious about their spending: many of which are...