News
Latest News
news bulletin
Breaking Headlines
Israel-Gaza War Updates
Variety and Tech
Sports News
Middle East News
World News
Lebanon News
Press Highlights
Lebanon Economy
News Bulletin Reports
Other News
Breaking Headlines
Israel-Gaza War Updates
Variety and Tech
Sports News
Middle East News
World News
Lebanon News
Press Highlights
Lebanon Economy
News Bulletin Reports
Beirut
31
o
Bekaa
34
o
Keserwan
31
o
Metn
31
o
Mount Lebanon
30
o
North
32
o
South
31
o
Live
Video
Audio
Schedule
shows
العربية
watching now
Morning Talk
SUBSCRIBE
Home
Notification
Live
Video
Audio
shows
Beirut
31
o
Bekaa
34
o
Keserwan
31
o
Metn
31
o
Mount Lebanon
30
o
North
32
o
South
31
o
News
Programs
The News
Breaking Headlines
Israel-Gaza War Updates
Variety and Tech
Sports News
Middle East News
World News
Lebanon News
Press Highlights
Lebanon Economy
News Bulletin Reports
Programs
Series
Movies
Documentaries
Variety
Comedy
Talk Show
News Bulletin
Sports
Breaking News
Latest News
Highlighted News
Most Read
Videos
العربية
Watch the latest programs and the latest developments on your favorite screen
Shows
Join millions of followers
Who We Are
Contact Us
Advertise With Us
Careers
Channel frequencies
Privacy Policy
Terms and Conditions
Inflation tightens grip on UK services firms in worry for BoE
World
23-05-2023 | 07:12
High views
Share
Share
4
min
Inflation tightens grip on UK services firms in worry for BoE
Companies in Britain's services sector increased prices at a rapid pace in May as they saw another month of strong demand, according to a survey that could add to the Bank of England's worries about the persistence of high inflation.
Measures of inflation for services firms' costs and their prices edged higher, although they are down on peaks seen shortly after Russia invaded Ukraine last year, the preliminary reading of the S&P Global/CIPS UK Purchasing Mangers' Index (PMI) showed.
The BoE is watching prices in the services sector as an indicator of how much inflation pressure remains in the economy. It has increased interest rates at 12 meetings in a row since late 2021 and is due to announce its next decision on June 22.
Tuesday's PMI survey once again painted a contrasting picture for British businesses with services firms reporting growth in May - albeit slowing slightly from April's one-year high - while manufacturing companies' business shrank again.
S&P Global's Composite PMI - spanning both the services and manufacturing sectors - dropped to 53.9 from the one-year high of 54.9 recorded in April. But it remained in growth territory above the 50.0 level for the fourth month in a row.
Chris Williamson, chief business economist at S&P Global, said the PMI was consistent with quarterly gross domestic product growth of 0.4 percent in the second quarter, speeding up from 0.1 percent in the first three months of the year.
"However, this growth spurt is driving renewed inflationary pressures, as service providers struggle to meet demand and hence not only offer higher wages to attract staff but also find themselves able to charge more for their services," he said.
"These survey results are nothing but hawkish in suggesting the Bank of England has more work to do to quash stubbornly high inflationary pressures in the services economy."
So far in 2023, Britain's economy has fared better than many forecasts of a recession made late last year.
There have also been signs that the country's main measure of inflation - which is higher than in many other countries - is set to slow in the coming months, a relief for Prime Minister Rishi Sunak who has promised to halve it this year.
The consumer price index is likely to have fallen to 8.2 percent in April from 10.1 percent in March, according to the consensus among analysts polled by Reuters ahead of Wednesday's official data release.
But underlying core inflation - which excludes volatile energy and food prices - is expected to fall more slowly, raising the prospect of the BoE having to keep borrowing costs high for longer than expected until recently.
By contrast to the rise in inflation among services firms seen in Tuesday's PMI survey, prices paid by manufacturers fell for the first time since November 2019 while the prices they charged grew at the slowest pace since October 2020.
Companies across the manufacturing and services sectors turned a bit less optimistic about their prospects over the next 12 months, with the degree of confidence about future output falling back to its lowest in three months.
Reuters
Inflation
Tightens
Grip
UK
Services
Firms
Worry
Bank of England
Subscribe to our VOD
SUBSCRIBE
Our visitors readings
d-none hideMe
0
Lebanon News
05:26
Israel's army claims it killed Radwan Force commander, Hezbollah member in south Lebanon strikes
Lebanon News
05:26
Israel's army claims it killed Radwan Force commander, Hezbollah member in south Lebanon strikes
0
Lebanon News
04:10
Lebanon's health minister approves full medical coverage for Beirut blast victims
Lebanon News
04:10
Lebanon's health minister approves full medical coverage for Beirut blast victims
0
News Bulletin Reports
12:48
Tom Barrack in Beirut: Lebanon submits seven pages roadmap to US envoy
News Bulletin Reports
12:48
Tom Barrack in Beirut: Lebanon submits seven pages roadmap to US envoy
0
World News
05:57
Kremlin 'shocked' by fired minister's apparent suicide
World News
05:57
Kremlin 'shocked' by fired minister's apparent suicide
Videos
d-none hideMe
0
Lebanon News
2025-07-01
Massive fire erupts at unregulated dumpsite in Bchannine, Zgharta district
Lebanon News
2025-07-01
Massive fire erupts at unregulated dumpsite in Bchannine, Zgharta district
0
Lebanon News
2025-06-10
Clash between Lebanese Army and residents of Deir Qanoun Al Nahr results in injuries (Video)
Lebanon News
2025-06-10
Clash between Lebanese Army and residents of Deir Qanoun Al Nahr results in injuries (Video)
0
Lebanon News
2025-06-04
Mexico dedicates garden around Lebanese Emigrant Statue in Beirut to mark 80 years of diplomatic ties
Lebanon News
2025-06-04
Mexico dedicates garden around Lebanese Emigrant Statue in Beirut to mark 80 years of diplomatic ties
0
Lebanon News
2025-05-19
President Aoun to seek Egyptian support for Lebanese Army in detecting explosives and tunnels
Lebanon News
2025-05-19
President Aoun to seek Egyptian support for Lebanese Army in detecting explosives and tunnels
0
Lebanon News
2025-05-15
LBCI Exclusive: US steps up pressure on Hezbollah, Morgan Ortagus details sanctions and vision for Lebanon's future
Lebanon News
2025-05-15
LBCI Exclusive: US steps up pressure on Hezbollah, Morgan Ortagus details sanctions and vision for Lebanon's future
0
Lebanon News
2025-05-11
Kuwait rolls out official welcome for Lebanon's President Aoun – video
Lebanon News
2025-05-11
Kuwait rolls out official welcome for Lebanon's President Aoun – video
0
Lebanon News
2025-05-11
Security incidents temporarily disrupt voting in several Akkar and Minieh-Danniyeh centers
Lebanon News
2025-05-11
Security incidents temporarily disrupt voting in several Akkar and Minieh-Danniyeh centers
0
News Bulletin Reports
2025-05-09
EU ambassador says 'we are not just donors, but genuine partners to Lebanon': Insights from exclusive LBCI interview
News Bulletin Reports
2025-05-09
EU ambassador says 'we are not just donors, but genuine partners to Lebanon': Insights from exclusive LBCI interview
0
Lebanon News
2025-04-23
US envoy Morgan Ortagus hails Lebanese diaspora, says country stands at a crossroads
Lebanon News
2025-04-23
US envoy Morgan Ortagus hails Lebanese diaspora, says country stands at a crossroads
Most read
d-none hideMe
24 hours
7 days
Month
1
Lebanon News
07:35
Samir Geagea rejects Lebanese leadership's response to US envoy, calls it 'unconstitutional'
Lebanon News
07:35
Samir Geagea rejects Lebanese leadership's response to US envoy, calls it 'unconstitutional'
2
Lebanon News
09:54
PM Salam after meeting Tom Barrack: Hezbollah committed to Taif, Israeli withdrawal a priority
Lebanon News
09:54
PM Salam after meeting Tom Barrack: Hezbollah committed to Taif, Israeli withdrawal a priority
3
News Bulletin Reports
12:48
Tom Barrack in Beirut: Lebanon submits seven pages roadmap to US envoy
News Bulletin Reports
12:48
Tom Barrack in Beirut: Lebanon submits seven pages roadmap to US envoy
4
News Bulletin Reports
12:50
Seven months of ceasefire violations: New Israeli strikes hit South Lebanon as US mediation advances
News Bulletin Reports
12:50
Seven months of ceasefire violations: New Israeli strikes hit South Lebanon as US mediation advances
5
Lebanon News
08:46
Speaker Berri describes meeting with Tom Barrack as 'constructive,' emphasizes Lebanon’s sovereignty and Hezbollah’s demands
Lebanon News
08:46
Speaker Berri describes meeting with Tom Barrack as 'constructive,' emphasizes Lebanon’s sovereignty and Hezbollah’s demands
6
Lebanon News
08:10
Sources: US guarantees pending, Hezbollah's position reiterated in Barrack-Berri meeting
Lebanon News
08:10
Sources: US guarantees pending, Hezbollah's position reiterated in Barrack-Berri meeting
7
Lebanon News
07:51
Lebanon’s Education Ministry denies exam rumors, urges students to rely on official sources
Lebanon News
07:51
Lebanon’s Education Ministry denies exam rumors, urges students to rely on official sources
8
Lebanon News
12:29
US Envoy Barrack says Washington is here to support, not impose, following meeting with PM Salam
Lebanon News
12:29
US Envoy Barrack says Washington is here to support, not impose, following meeting with PM Salam
Download now the LBCI mobile app
To see the latest news, the latest daily programs in Lebanon and the world
Google Play
App Store
We use
cookies
We use
cookies
to make
your experience on this
website better.
Accept
Learn More