Investor confidence soars to 10-month high despite Brexit uncertainty

Investor confidence hit a ten-month high in March despite ongoing uncertainty related to Brexit.

The Hargreaves Lansdown Investor Confidence Index reached 80 points this month, recovering from a record low of 52 points in December, indicating that the UK’s withdrawal from the European Union is no longer tainting investor sentiment to the same extent.

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However, the index is still below the 10 year average of 91, and UK investor sentiment continues to lag behind the other major equity markets except for Europe.

Hargreaves Lansdown senior analyst Laith Khalaf said: “As we approach the height of ISA season, the mood of investors has improved dramatically.

“This is quite a surprising turn of events, seeing as Brexit remains unresolved and time is running out on efforts to reach some sort of agreement.

Read more: Eurozone investor confidence slumps to new four-year low

“Indeed, Brexit remains a key concern voiced by private investors in our survey, though it seems it is no longer tainting sentiment towards the market to the extent it did at the back end of last year.”

The index results come as Theresa May is in Brussels trying to secure an extension to article 50 at a summit of EU leaders, as the UK draws closer to the 29 March deadline .