PwC comments on S&P Global UK PMI data - August 2026

Commenting on the S&P Global Flash UK PMI data for August 2026, Jake Finney, Senior Economist at PwC, says:

“The latest PMI data provides increasingly encouraging signs that the economy is finding firmer footing. The composite index has now been solidly in expansion territory for two consecutive months, suggesting that the economy is moving beyond the soft patch seen earlier this year and pointing to reasonably strong growth in Q3.

“While it has faded somewhat from focus, the international backdrop remains volatile and continues to pose the greatest risk to the outlook. Oil prices are once again above $90 a barrel, raising the risk of renewed inflationary pressure, while the PMI data shows that input cost inflation is accelerating.

“Even so, GDP growth is likely to come in slightly above 1% this year, which would be a welcome outcome given the shocks the economy has had to absorb. So far, the economy has proven more resilient than expected, but it is important to bear in mind that we are still a long way away from rip-roaring growth.”