- Prior 50.5
- Final Composite PMI 52.6 vs 52.0 prelim
- Prior 50.3
Key findings:
- Higher fuel prices lead to intensifying inflationary pressures across the service economy
- Business activity growth picks up from March’s 11-month low
- Lower export sales weigh on order books during April
Comment:
Tim Moore, Economics Director at S&P Global Market Intelligence, said:
“April data signalled a modest recovery in UK service sector output growth after the considerable loss of momentum seen in March. However, this improvement could easily prove short-lived as new business intakes remained subdued in comparison to the start of 2026. Survey respondents widely noted that the Middle East conflict and subsequent global supply chain disruptions had weighed heavily on business and consumer confidence.
“Business activity expectations for the year ahead edged up only slightly from March’s nine-month low, largely reflecting concerns about the broader economic outlook and escalating inflationary pressures.
“Service providers recorded the fastest rise in average cost burdens since November 2022, which was overwhelmingly linked to greater transportation bills and increased salary payments. A number of firms also noted that they had brought in fuel surcharges for their customers, which led to a spike in prices charged inflation across the service economy to its highest for over three years in April.”
