FX.co ★ UK Services Sector Returns to Expansion as S&P Global PMI Climbs to 51.8 in July

The United Kingdom’s services sector moved back into expansion territory in July 2026, as the S&P Global Services PMI rose to 51.8 from 48.8 in June. The latest reading, updated on 24 July 2026, marks a notable turnaround after the index had dipped below the 50-point threshold that separates contraction from growth.

June’s figure of 48.8 had signaled a mild contraction in activity, raising concerns over momentum in the UK’s dominant services industry. The rebound to 51.8 in July suggests an improvement in business conditions, potentially reflecting firmer demand and stabilizing confidence among service providers.

While the data point to a positive shift in the short term, markets and policymakers will be watching upcoming releases closely to assess whether this return to expansion can be sustained in the face of ongoing domestic and global economic uncertainties.