The HCOB Flash Eurozone Services PMI decreased to 51.9 in January 2026, the lowest in four months, from 52.4 in December and below forecasts of 52.6. The reading signalled a slowdown in services-sector growth, with staffing levels flat after nearly five years of continuous job creation. Meanwhile, charge inflation accelerated to its sharpest pace in 11 months, even as business confidence improved. Services activity in Germany expanded at a fairly robust pace, while in France service companies slipped into contractionary territory. This may be linked to the political difficulties in finalising the 2026 budget.

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