The firms, which include pubs, hotels, restaurants, and leisure facilities, posted 93.3 on the bank’s UK Sector Tracker’s Input Cost Index and was driven by higher operating costs and recruitment challenges.
The UK Sector Tracker is an evolution of the Lloyds Bank UK Recovery Tracker. It uses PMI data from S&P Global to shed light on current trends in the UK economy. A reading above 50 indicates expansion on an index, while a reading below 50 indicates contraction.
Firms across the UK faced significant price pressures in May as the index reached a record high of 85.9 – exceeding the previous record set in April (83.5) and well above the 10-year average reading of 60.0.
