UK Private Sector Growth Reaches Six-Month High
UK private sector output surged to a six-month high in March, with services companies driving growth amid expectations of avoiding Donald Trump’s second wave of trade tariffs next month. The S&P UK PMI composite output index rose to 52.0, its highest level since September, up from 50.5 in February. Services sectors led the charge, with order books increasing for the first time this year, fueled by rising domestic and international demand. This positive development comes as a boost for Rachel Reeves ahead of her Spring Statement on Wednesday. However, the manufacturing sector faced challenges, with a drop in activity and concerns over tariffs and global economic uncertainty. Factory owners reported the weakest confidence since November 2022 and the steepest decline in production volumes in over a year. Despite the mixed results, the overall growth in services is seen as a strong indicator of resilience, strengthening Reeves’ position ahead of key economic announcements.
