The UK S&P Global Composite PMI eased to 51.5 in July 2025 from 52 in June, but was revised higher from the initial estimate of 51. This marked the third consecutive month the index remained in expansionary territory. The slight loss of momentum reflected a softer expansion in the services sector (51.8 vs 52.8 in June) and a continued contraction in manufacturing (48.0 vs 47.7). There was a renewed downturn in new business, reversing the marginal improvement seen in June. The decline in new work added pressure on firms, leading to another drop in private sector employment - the sharpest rate of job losses since February. On the inflation front, input cost pressures continued to ease. Although cost burdens remained elevated, the rate of increase was the slowest since December 2024, suggesting that price pressures are gradually moderating.