FX.co ★ UK Services Sector Returns to Growth

The S&P Global UK Services PMI rose to 50.2 in May 2025, up from 49 in April and slightly surpassing market expectations of 50, according to preliminary estimates. This reflects a modest expansion in the services sector following a period of contraction. Nonetheless, the inflow of new business continued to decrease. On the cost front, service providers experienced substantial price pressures due to escalating wages, higher utility bills, increased consumer prices, and more costly technological services. Confidence among service firms improved, bolstered by more stable global financial markets and early indicators of a cautious recovery in client spending plans.