Household Inflation Expectations

• The Central Statistical Office (GUS) reported that in October, consumer inflation expectations shifted towards lower inflation.
• Both consumer confidence indicators – current and leading – decreased in October.
• For small businesses, the decline in inflation expectations may mean less pressure to raise prices.

According to the Central Statistical Office, in October, consumer inflation expectations shifted towards slightly lower inflation (In October, a shift in consumer inflation expectations towards slightly lower inflation - GUS – wnp.pl). Households are therefore forecasting a slower pace of price increases in the near future than in the previous month.

Consumer Sentiment

In October, consumer sentiment also worsened. Both consumer confidence indicators, current and leading, decreased compared to September. Despite poorer assessments of the current economic situation, consumers expect less price pressure in the future.

Significance for Small Businesses

For entrepreneurs, the decline in inflation expectations may mean less pressure to raise prices from suppliers and service providers. If consumers anticipate slower price growth, they may also react more mildly to price increases in stores and service points. The GUS survey does not provide specific percentage values of expectations for individual household groups, but the overall direction of change is clear.