However, trends differ by industry as strong growth in the services economy contrasts with another decline in manufacturing.
According to S&P Global, UK private-sector firms signaled business activity rose for a third straight month in April and expansion accelerated at the fastest pace in a year. Although new orders rose further, manufacturing output fell for the month. The UK manufacturing supply chain continued to improve in April.
Commodity makers note that reducing customer inventories and efforts to cut costs have added to downward pressure on demand, while service providers often comment on spending capacity. consumers, S&P Global said in a statement.
April data showed the slowest increase in input costs at private sector firms in just over two years, driven by lower fuel and energy prices and improved supply conditions.
At 53.9 in April, the seasonally adjusted UK S&P Global-CIPS Rapid Composite Yield Index rose from 52.2 in March and was above the key 50 threshold unchanged for a th month. three in a row. Furthermore, the latest index signals the strongest output growth rate since April 2022.
Manufacturing (index 48.5) fell for the second consecutive month and at the fastest rate since January.
Manufacturers attribute the continued decline in new job numbers to reduced customer inventories, rising energy costs and falling demand for major consumer goods.
Similarly, export sales increased at a steady rate in the services sector, but manufacturers experienced declines for the fifteenth consecutive month.
Manufacturing supply chains continued to improve in April, with the corresponding index little changed from the survey record increase seen in March.
Delivery times for UK suppliers have now been shortened to three months, with commodity manufacturers often citing improved raw material availability and lower demand. However, survey respondents said ongoing difficulties in sourcing electrical items amid limited supply across Asia.
Fewer concerns about supplier performance, combined with falling orders, means UK manufacturers will release their safety stock if possible in April. This was signaled by the fastest drop in pre-production inventories since May 2020.
Fiber2Fashion (DS) News Desk
