UK Composite PMI Edges Lower

2025-02-21 09:43 By Andre Joaquim 1 min. read

The S&P Global UK Composite PMI was at 50.5 in February of 2025, inching lower from 50.6 in the previous month and in line with the market consensus.

Economic growth was solely driven by the services sector (51.1 vs 50.8 in January), which offset a sharper decline in manufacturing (46.4 vs 48.3), in line with the similar trend in other major European economies.

The latest survey indicated the sharpest contraction in new business received by firms in one-and-a-half years, with firms citing cuts to clients’ budgets and muted business investment spending.

The lower demand for capacity drove companies to shed jobs at the sharpest pace since the global financial crisis when excluding the pandemic shock.

On the price front, input costs rose at the sharpest rate since May 2023, translating to higher output charges, with firms noting that prices need to be lifted to offset the impending rise in staff costs according to rules from the latest Budget.



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