UK Private Sector Growth Accelerates as Services Lead the Way

The UK's private sector growth accelerated in August, according to the S&P Global Composite PMI. The index rose to 52.5, surpassing the predicted 51.6 and marking its highest level in four months.

The improvement was driven primarily by a strong services sector, which saw its own PMI rise to 53.3 from 52.5 in July. Manufacturing remained in contraction territory at 52.5, but the composite was lifted by services activity.

Input cost inflation eased to a three-year low, providing some relief to businesses and potentially supporting the Bank of England's cautious approach to rate cuts.