Virginia shoppers are feeling more pressure at the checkout line, and a new poll suggests that these higher costs are affecting how residents view the economy as a whole.
In August, a new Roanoke College survey found a sharp decline in Virginia consumer sentiment as rising prices and a tough job market put more strain on everyday household budgets.
Here's what to know
The Roanoke College poll, as detailed by InsideNoVa, put Virginia's Index of Consumer Sentiment at 59.6. That is 7.8 points lower than in February, with the overall index, the current conditions measure, and the expectations gauge all below the state's five-year average of 68.1.
Among the survey's components, views of current finances weakened the most. The Index of Current Conditions dropped 11 points to 53.7, its lowest level since the inflation surge in 2022.
According to InsideNoVa, Alice Kassens, Roanoke College's professor of economics and dean of the School of Business, Economics, and Analytics, said, "The drop in how households view current conditions reflects the toll that renewed inflation and a cooling labor market has taken on household budgets. Wage growth, which had been outpacing inflation for much of the past year, is nearly even, leaving consumers with little real income cushion."
Forty-two percent of respondents said they were worse off financially, while 51% said it was a poor time to buy big-ticket durable goods.
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Virginia's expectations index fell to 63.5, though it remained a dozen points higher than the national figure of 51.5.
More background
Concerns about gas and grocery costs appeared to weigh more heavily on views of current conditions than on longer-term expectations.
GDP increased at a 1.5% annualized pace in 2026's second quarter, compared with 2.1% in the first, while consumer spending accelerated from 0.5% annualized to 3.4%. The economy shed a net 23,000 jobs in July after adding only 20,000 in June.
At the same time, wage growth lost steam. Average hourly pay growth slowed from 3.7% in February to 3.2% in July, even as Consumer Price Index inflation rose from 2.4% to 3.3%.
Kassens said households appear to see the price pressures as "a specific, and potentially temporary, geopolitical shock," rather than a lasting economic paradigm shift.
According to Virginia Mercury, the Virginia survey was fielded online Aug. 4 through Aug. 7 using Qualtrics software. Participants were recruited through Prolific, and the weighted sample included 547 Virginia residents ages 18 and older.
"Even so, Virginians' expectations for the year ahead have held up comparatively well, and the commonwealth continues to outperform the nation on every measure of sentiment," Kassens said. "Whether that optimism holds will depend heavily on how inflation and the labor market evolve over the next two quarters."
Where can I learn more?
Rising costs change how people spend and what they can afford at home. From shifting grocery routines to insurance bills that can drag on housing costs, the articles here add context to the financial stress reflected in Roanoke College's poll.
• Across the United States, shoppers are changing grocery shopping habits as tighter budgets reshape everyday spending.
• Also nationwide, rising insurance costs are adding housing pressure that can further strain household finances.
• In Florida, baseline values of housing are shifting as insurance risks reset coastal affordability.
Read alongside the Virginia survey, these articles give a clearer picture of how rising costs can change behavior well before confidence rebounds. That helps explain why many households feel pinched even while longer-term expectations have held up better.
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