Institution: UK services industry data overstates economic resilience

```htmlGolden Ten Data reported on May 6 that Matt Swannell from ITEM Club stated in a report that the rising optimism in the UK services sector overstated the actual strength of the British economy. The UK's services PMI for April rose to 52.7, higher than the previous month's 50.5. However, Swannell noted that, against the backdrop of the energy crisis, weak consumer demand, rising inflation, and sluggish business investment are expected to drag down economic growth starting from mid-2026. He pointed out that although economic activity has picked up, new orders have essentially stagnated, while cost pressures continue to intensify. "We believe the Bank of England will weigh the accumulating price pressures against the increasingly fragile job market, and thus will maintain a wait-and-see stance." Swannell added that with labor costs still high, market risks are leaning toward the Bank of England raising interest rates this summer.```