Consumer confidence has jumped to an 18-month high during September following reports that the worst of the recession may be over, according to research.
Nationwide said its consumer confidence index rose by six points during the month to reach its highest level since April 2008 and stand 24 points higher than it was a year earlier.
The group credited the improvement on a raft of reports suggesting the economy may be picking up, as well as house price rises and strong stock market gains.
All of the group's sub-indexes increased during the month, with its expectations index soaring by nine points to its highest level since December 2005.
Nearly four out of 10 people expect the economic situation to be better in six months' time than it is now, the highest level since the index began in May 2004, while the proportion of people who think there will be few jobs available dropped to 50% from 56% in August.
Mark Saddleton, Nationwide's head of economic and market analysis, said: "September saw a much stronger increase in overall confidence compared with recent months and the index is now at its highest level since April 2008.
"Expectations for the future economic situation are also buoyant, with pessimism about the labour market situation starting to decrease. The substantial rise in positive sentiment seen in the expectations index reflects widespread reports from various industry commentators recently suggesting that the worst of the recession is over."
But people were less upbeat about the current economic situation, with 69% of people saying it was bad, although this was down from 86% in February, while 66% of those questioned think there are currently few jobs available.
Overall, the present situation index rose by two points to 19, but remained close to the record low of 16 reached in July.
TNS questioned 1,000 people between August 24 and September 20.
