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23.06.202608:48:06UTC+00UK Services Sector Surprises on the Downside

The S&P Global UK Services PMI slipped to 48.7 in June 2026 from 49.3 in May, falling short of market expectations of 50.5, according to flash estimates. The reading pointed to a second consecutive monthly contraction and the sharpest downturn since January 2023, as persistent price pressures and weaker customer confidence weighed on activity. New business volumes fell at a faster rate, contributing to a more pronounced decline in backlogs and prompting further job cuts. Input costs continued to rise strongly, reflecting multiple sources of inflation such as higher transport expenses and IT equipment surcharges. However, the overall pace of cost inflation eased from April’s peak, resulting in a slightly more moderate increase in selling prices.

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