# UK consumer confidence hits three-year low

> Fears of interest rate hikes and job insecurity drop UK consumer confidence to three-year low.
- Title: UK consumer confidence hits three-year low · the Guardian
- Summary: Fears of interest rate hikes and job insecurity drop UK consumer confidence to three-year low. UK consumer confidence falls to a three-month low as fears of…
- Keywords: consumer confidence, interest rates, bank of england, s&p global, mortgage rates, jobs market, chancellor, news, world, consumer, confidence, hits
- Source: the Guardian — https://theguardian.com/business/2026/sep/21/interest-rate-rise-jobs-uk-consumer-confidence-budget
- Published: 2026-09-21T12:00:11+00:00
- Read time: 1 min
- Topics: uk, consumer confidence, interest rates, bank of england, s&p global, mortgage rates, jobs market, chancellor, news, world
## consumer confidence drops
fears of interest rate rise and job insecurity send uk consumer confidence to three-year low.
## s&p global survey shows
s&p global consumer sentiment index dropped to 42.7 in september from 42.9 in august.
## mortgage costs rise
average two-year fixed residential mortgage rate rose to 5.88 percent on monday.
## mortgage payments increase
a typical loan of £250,000 over 25 years will see monthly payments rise by about £150.
## economist warns
maryam baluch said improved sentiment is eroded by worries over energy prices and job prospects.
## chancellor faces pressure
healey could announce tax rises to offset government borrowing costs but risks limited funds.
## next steps unclear
analysts say healey may limit tax rises to wealthier groups but lacks funds for defense spending.
## Key takeaway

UK consumer confidence falls to a three-month low as fears of interest rate rises and job insecurity grow.