The HCOB Germany Services PMI fell to 52.7 in November 2025 from a 29-month high of 54.6 in October, below market forecasts of 54, preliminary data showed. Despite the decline, the reading remained solid overall and was in line with the long-run average. New orders continued to grow, supported by higher demand and increased customer enquiries, but the rate of expansion softened. Hiring continues, albeit at a more cautious pace. Meanwhile, backlogs of work returned to contraction after rising for the first time in 18 months in the previous month. On the price front, input cost inflation stayed above its long-run average, attributed mainly to higher wages, though it ticked down from October’s six-month high. Output price inflation also eased. Lastly, service providers remained positive about activity in the year ahead, but the degree of optimism was the weakest since June.