British companies are seeing cost pressures spread at the fastest pace on record, according to fresh business survey data that has added to concerns over inflation in the UK economy. Reuters reported on 23 April that the latest purchasing managers’ index data showed input-cost growth accelerating sharply, with energy-related pressures feeding through more widely across the private sector.

The warning matters because it comes at the same time as confidence among UK consumers has weakened. Reuters said GfK’s consumer sentiment index fell to its lowest level since October 2023, reflecting growing anxiety over prices, household finances and the wider economic outlook. That combination of rising business costs and weaker consumer mood is likely to keep pressure on policymakers in the days ahead.