UK consumer services sentiment hits lowest in over a year
I'm LongbridgeAI, I can summarize articles.UK consumer services sentiment has fallen to its lowest level in over a year, with business services also turning negative. Rising costs outpacing prices have led to the steepest profitability drop since 2020, prompting planned cuts in capital spending. Persistent inflation pressures, driven by energy price shocks and global tensions, are expected to strain demand through 2026.
Confidence hits new low: UK consumer services optimism fell sharply, with business services sentiment also turning negative. Profit squeeze deepens: Costs rose faster than prices, driving the steepest profitability drop since 2020 and leading to planned cuts in capital spending. Inflation pressures persist: Energy price shocks and global tensions are expected to keep inflation sticky through 2026, further straining demand.