Latest IHS MARKIT / CIPS UK Services PMI
According to the latest IHS MARKIT / CIPS UK Services PMI "UKservice providers recorded a sustained drop in overall activity during December, with the downturn overwhelmingly linked to business disruptions, restrictions on trade and temporary closures due to the coronavirus disease 2019 (COVID-19) pandemic. At the same time, margins were under pressure from sharply rising input costs and ongoing price discounting across the service economy. On a more positive note, business expectations for the next 12 months strengthened in December and were the most optimistic for almost six years. Around 59% of the survey panel forecast a rise in activity over the course of 2021, while only 13% predict a decline."
Key Findings:
- Business activity declines for the second month in a row
- Sharpest rate of input cost inflation since February 2020
- Year ahead growth expectations strengthen in December