Consumer confidence unchanged at a very weak level in February 2024

Consumer confidence in areas of residence and population groups

In February, consumer confidence was clearly strongest in Greater Helsinki (CCI -3.6). Confidence was weakest in Northern Finland (-14.2). Of population groups, workers were most optimistic in February (-5.0). Pensioners had the gloomiest expectations concerning economic development (-15.6). More detailed information is available in the database tables and figures.

Consumers' own and Finland's economy

In February, consumers' estimates of their own economy at present weakened slightly compared to January. Consumers' expectations concerning their own and Finland's economy in general in 12 months' time remained completely unchanged in a month and improved slightly compared to one year ago.

The estimate of consumers’ own economy at present was very weak in February, while expectations concerning it remained fairly bright. Expectations concerning Finland's economy were pessimistic.

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Thirty per cent of consumers thought in February that their own economy was weaker than one year ago. Twenty-three per cent of consumers regarded their own economy stronger at the time of the survey than one year ago. As many as 68 per cent of consumers thought that Finland’s economy is now worse than one year ago, and only five per cent considered it to be better.

In February, 19 per cent of consumers believed that Finland’s economic situation would improve in the coming twelve months, while 40 per cent of them thought that our country’s economy would deteriorate. In all, 29 per cent of consumers believed in February that their own economy would improve and 16 per cent feared it would worsen over the year.

Unemployment and its threat

Consumers' expectations concerning the development of the general unemployment situation in Finland continued to be gloomy in February. Twelve per cent of consumers expected that unemployment would decrease over the year and 58 per cent believed it would increase.

Employed consumers (wage and salary earners and self-employed persons) reckoned in February that their personal threat of unemployment or temporary lay-off had remained fairly high. Four per cent of employed persons believed that their personal threat of unemployment had lessened and 23 per cent thought the risk had grown. On the other hand, 45 per cent of employed persons felt in February that they were not threatened by unemployment or temporary lay-off at all.

Inflation

In February, consumers' estimates of inflation at the time of the survey fell and their expectations concerning price changes in one year's time remained unchanged. All in all, estimates of inflation were still high.

Consumers estimated in February that consumer prices have risen by 5.9 per cent from last year's February and would go up by 4.2 per cent over the next year. Altogether 71 per cent of consumers thought that prices had gone up much or fairly much over the year. Clearly fewer, or 41 per cent of consumers expected prices to rise at least at the same rate in the coming months as well.

Financial situation, saving and raising a loan

In February, the time was still regarded very poor for taking out a loan and also for saving, even though views on them improved slightly. Only 13 per cent of consumers regarded the time favourable for taking out a loan and 39 per cent considered saving worthwhile. However, plans to raise a loan were on the usual level in February. Sixteen per cent of consumers were planning to raise a loan within one year.

Consumers' assessments of their own financial situation were almost unchanged and on the long-term average level in February. It was also expected that the saving possibilities would be as per usual in the coming months. In February, good one-half, or 54 per cent of consumers, had been able to lay aside some money and 71 per cent believed they would be able to do so during the next 12 months.

Spending and intentions to make large purchases

In February, the time was still considered very unfavourable for buying durable goods. Only 10 per cent of consumers thought the time was favourable for making expensive purchases.

Consumers’ intentions to spend money on durable goods during the next 12 months continued to be very scant in February. However, the intentions to make purchases increased slightly compared to one year ago. In February, nine per cent of consumers estimated they would increase and 44 per cent that they would reduce their spending on durable goods over the next 12 months.

In February, there were slightly fewer plans than usual to buy a car over the next 12 months. Intentions to buy a dwelling remained subdued and very few consumers had a new dwelling in mind. Intentions to renovate one's own dwelling also remained slightly below their average level in February.

In February, 13 per cent of consumers were either definitely or possibly going to buy a car during the next 12 months. Only 11 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 home during the next 12 months.

Data set for the statistics

The Consumer Confidence Survey is carried out with a self-filled web questionnaire and by telephone interviews. Answers are mainly given by means of answer options. In February 2024, a total of 1,235 persons participated in the Survey and the response rate was 57 per cent. Of the responses, 80 per cent came from the web questionnaire.

The components of the consumer confidence indicator (CCI) are: own economy now, own economy in 12 months, Finland's economy in 12 months and own intentions to buy durable goods in the next 12 months.

EU results

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