France’s consumer confidence indicator held steady at 92 in April 2025, maintaining the same level as in March and slightly surpassing expectations, which had forecast a reading of 91. However, the index remains below the long-term average of 100, reflecting ongoing concerns about the economic outlook among French households. This stability in consumer confidence comes amid a complex economic environment, where uncertainties about inflation, unemployment, and overall living standards continue to weigh on sentiment.
French consumer morale remains stable
Sentiment regarding personal finances showed little change from the previous month. The assessment of past financial situations remained at -20, while expectations for future finances stayed weak at -11, indicating that consumers do not foresee significant improvements in their personal financial situations in the near term. The relative stability in these figures suggests that, while not overly pessimistic, French households are not experiencing significant optimism about their financial prospects either.
On a more positive note, intentions to make major purchases improved slightly, with the indicator rising to -23 from -26 in March. This suggests a modest rebound in consumer appetite for big-ticket items, though intentions remain firmly in negative territory, signaling that many households are still reluctant to make large expenditures. The slight uptick could reflect some improved confidence in specific sectors, such as durable goods or home-related purchases, but overall consumer spending is still constrained.
Households' willingness to save decreased
In contrast, households' willingness to save decreased, with the indicator dropping to 35 from 39. This decline suggests that, although some consumers are still cautious about their financial future, they may be feeling slightly less inclined to prioritize saving in the current environment. This change could reflect a more immediate focus on consumption or the possibility of reduced confidence in future savings potential as economic conditions remain uncertain.
One of the key areas of concern continues to be perceptions of living standards. Consumers remained deeply pessimistic about both their past and future living standards, with assessments of past living conditions improving only slightly to -67 from -69, while expectations for future living standards worsened to -53 from -50. This reflects an ongoing sense of economic stagnation and a lack of confidence that conditions will improve in the near future. Many households continue to feel the strain of rising living costs, particularly in areas like housing and energy, and are uncertain about their ability to maintain or improve their standard of living going forward.
Unemployment concerns also increased, with the indicator rising to 51 from 47. This uptick suggests that French consumers are more anxious about job security, likely due to slower economic growth, structural shifts in the labor market, and potential global economic uncertainties. Rising unemployment fears are a significant contributor to overall consumer pessimism, as job insecurity often translates into reduced consumer spending and saving.
Perceptions of past consumer prices worsened
On the inflation front, while inflation expectations eased slightly to -37 from -41, perceptions of past consumer prices worsened. The perception of past inflation moved to -13 from -8, indicating that consumers felt the pinch of rising prices more acutely over the past few months. This suggests that, despite a slight easing in inflation expectations for the future, French households are still feeling the impact of higher costs, particularly in essential goods and services.
Overall, while consumer confidence in France remained steady in April, the underlying sentiment reflects a complex and cautious economic outlook. Concerns about living standards, job security, and inflation persist, and while there are some positive signs in terms of purchase intentions and slightly lower inflation expectations, many consumers remain deeply uncertain about their financial future.
