Confidence among UK consumers rose slightly in February despite the current recession, according to a survey of 1,000 customers by Nationwide.

The building society's Consumer Confidence Index increased by two points to 43 - the first rise since October last year.

The rise has been attributed to the growing perception among UK consumers that there are significant savings to be made on goods and services as businesses cut their costs to try and increase revenue in the economic downturn.

"More consumers think it's a good time to make a major purchase. Falling house prices and bigger discounts on new cars may well have affected this, but it remains to be seen how quickly this sentiment will lead to larger numbers of transactions given the current economic conditions," said the Nationwide.