2026.09.0308:50:18UTC+00UK Services Activity Expands Modestly in August

The S&P Global UK Services PMI for August 2026 was revised slightly lower to 52.5 from the flash estimate of 52.8, though it still represented an improvement on July’s reading of 52.1. This latest figure indicates a moderate expansion in overall services activity, the strongest pace of growth in four months.

Business confidence rose for a third consecutive month, reaching its highest level since February, as firms looked past elevated inflation and persistent uncertainty related to the conflict in the Middle East. New orders increased marginally in August, pointing to a modest pickup in demand in line with a gradual recovery in both business and consumer spending.

Export sales, however, continued to be a weak spot, falling for the sixth month in a row amid muted demand from Europe and ongoing geopolitical risks. On the labour front, employment declined again but at the slowest rate since October 2025, with strong cost pressures and remaining excess capacity still constraining hiring.