Consumer confidence unchanged in June 2023

Consumer confidence in areas of residence and population groups

In June, consumers' confidence in the economy was strongest in Greater Helsinki (CCI -6.6) and Northern Finland (CCI -7.0). Confidence was weakest in Eastern Finland (-13.8). Among population groups, students were optimistic (1.6). Pensioners had the gloomiest expectations concerning economic development in June, (-20.1). More detailed information is available in the figures and database tables.

Consumers' own and Finland's economy

In June, consumers' expectations concerning both their own and Finland's economy in 12 months improved clearly from one year back but remained on level with May. Expectations were still at a subdued level.

Views concerning consumers’ own economy at present weakened from one year back but improved in June compared to May.

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Thirty-one per cent of consumers thought in June, that their own economy was weaker than one year ago. Only 24 per cent of consumers regarded their own economy stronger at the time of the survey than one year ago. Altogether 67 per cent of consumers thought that Finland’s economy is now worse than one year earlier, and only eight per cent considered it to be better.

In June, 24 per cent of consumers believed that Finland’s economic situation would improve in the coming twelve months, while 35 per cent of them thought that the country’s economy would deteriorate. In all, 27 per cent of consumers believed in June that their own economy would improve and 19 per cent of them feared it would worsen over the year.

Unemployment and its threat

Consumers’ expectations concerning the development of the general unemployment situation in Finland weakened slightly in June but still remained on the long-term average level. Twenty-two per cent of consumers expected that unemployment would decrease over the year and 35 per cent believed it would increase.

In June, employed consumers (wage and salary earners and self-employed persons) felt that their personal threat of unemployment or lay-off had lessened slightly. The threat was estimated to be slightly lower than the long-term average. Six per cent of employed persons believed that their personal threat of unemployment had lessened and 12 per cent thought the risk had grown. Over one half or 56 per cent of employed persons felt in June that they were not threatened by unemployment or lay-off at all.

Inflation

In June, consumers' estimates of the inflation at the time of the survey and their expectations concerning the rate of change in prices in one year's time remained unchanged and high.

Consumers estimated in June that consumer prices have risen by 7.7 per cent from June last year and would go up by 4.5 per cent over the next year. Altogether 89 per cent of consumers thought that prices had gone up much or fairly much over the year. Clearly fewer consumers, or 31 per cent, expected prices to rise at least at the same rate in coming months as well.

Financial situation, saving and raising a loan

As in the preceding few months, the time was considered very poor for taking out a loan and also for saving in June. Only 10 per cent of consumers regarded the time favourable for taking out a loan and 38 per cent considered saving worthwhile. At the same time, intentions to take out a loan were also very low. In June, 13 per cent of consumers were planning to take out a loan within one year.

In June, consumers considered their own financial situation to be fairly good. It was expected that the saving possibilities would be as per usual in the coming months. In June, 58 per cent of consumers had been able to lay aside some money and 72 per cent believed they would be able to do so during the next 12 months.

Spending and intentions to make large purchases

In June, the time was still regarded very unfavourable for buying durable goods. Only eight per cent of consumers thought the time was favourable for making expensive purchases.

Consumers’ intentions to spend money on durable goods in the next 12 months were still very low in June. Their intentions to make purchases subsided especially compared to one year ago. In June, nine per cent of consumers planned on increasing and as many as 47 per cent anticipated they will be reducing their spending on durable goods over the next 12 months.

In June, consumers had fewer plans than usual to buy a car during the next 12 months. Intentions to renovate one's dwelling were also lower than the long-term average.

In June, only 13 per cent of consumers were either definitely or possibly going to buy a car during the next 12 months. Twelve per cent of consumers considered buying a dwelling or building a house. Fifteen per cent of consumers were planning to spend money on renovating their dwelling during the next 12 months.

Data set for the statistics

The Consumer Confidence Survey is carried out with a web questionnaire and by telephone interviews. Answers are mainly given by means of answer options. In June 2023, a total of 994 persons participated in the Survey and the response rate was 45.6 per cent. Of the responses, 79 per cent came from the web questionnaire.

EU results

The (seasonally adjusted) survey results concerning economic expectations for all EU countries are released monthly on the European Commission website.