Service Sector Slowdown

The United Kingdom's service sector witnessed a significant slowdown in April, with the services PMI dropping to 49.0 from 52.5 in March, as reported by S&P Global. This marks the lowest figure since January 2023, attributed to declines in new business and employment.

Composite PMI Decline

The composite Purchasing Managers' Index (PMI) also saw a decrease, falling from 51.5 in March to 48.5 in April, indicating a broader economic slowdown.

Expert Insights

"UK service sector output contracted for the first time in one-and-a-half years, with business uncertainty significantly impacting order books. Export conditions were notably weak, with new international business declining the most since February 2021," explained Tim Moore, Economics Director at S&P Global Market Intelligence.

Future Outlook: Moore added, "Business expectations for the upcoming year have sharply declined, as the service sector prepares for prolonged global economic turbulence and increased recession risks."