July’s PMI reading of 52.1 marks the first expansion in UK services activity since April, driven by lower input cost pressures.
The UK services sector expanded for the first time in three months in July, with the S&P Global PMI rising to 52.1 from 48.8 in June. The increase reflects easing input cost pressures, though growth remains below the long-run average of 54.2.
June’s contraction followed two consecutive months of decline, with the sector struggling under elevated costs and weak demand. While the latest reading signals a modest recovery, it remains subdued compared to pre-pandemic trends.
Markets are monitoring the data for signs of sustained economic resilience amid persistent inflation concerns.