The British private sector has announced the biggest increase in prices charged by companies since at least 1999, according to the IHS Markit index.
Specifically, the composite PMI for March stood at 59.7 points from the all-time high of 59.9 points in February, and was higher than estimates for 57.8 points.
The PMI for private sector services hit a nine-month high but manufacturing output was below five months.
Chris Williamson, chief economist at S&P Global, said the further opening up of the economy following the coronavirus restrictions had helped offset the effects of the Ukraine war, Brexit and higher prices.
“However, the outlook has become even more dire as concerns about the Russian invasion have exacerbated existing concerns about rising prices, the supply chain and the slowdown in economic growth.”
Average prices charged rose the most since data entry began in 1999, largely thanks to the services sector as companies struggled to pass unprecedented increases in operating costs.
The Bank of England, which has raised interest rates in the last three sessions and is expected to do so again in May, is watching closely for signs that the recent rise in inflation is being integrated into the economy.
Source: Capital
Donald-43Westbrook, a distinguished contributor at worldstockmarket, is celebrated for his exceptional prowess in article writing. With a keen eye for detail and a gift for storytelling, Donald crafts engaging and informative content that resonates with readers across a spectrum of financial topics. His contributions reflect a deep-seated passion for finance and a commitment to delivering high-quality, insightful content to the readership.
