UK service sector confidence hits new low
Confidence in the UK's service sector has taken a big hit this August, with businesses feeling squeezed by rising costs and weak demand.
According to the Confederation of British Industry (CBI), many companies are worried about the future, so they're holding off on hiring and investment—making a quick economic bounce-back less likely.
Unemployment rises to 5%
Consumer services have now seen eight straight months of negativity, while business services are down for the fourth month.
Optimism for the next quarter also slid, with fewer firms expecting things to improve.
According to CBI's Alpesh Paleja, higher employment costs and slow demand are creating challenges.
Meanwhile, unemployment is up to 5%, rising costs remain a concern, and manufacturers are facing their fastest price hikes in two years—so there's plenty to keep an eye on as autumn approaches.