The HCOB France Services PMI came in at 49.7 in July 2025, slightly higher than market forecasts and June’s figure of 49.6.
Although this marked the eleventh consecutive month of contraction in the services sector it was the softest decline in the current sequence.
Output fell at a slower pace, but new orders declined at the fastest rate in three months.
Notably, workforce reductions were confined to the services sector.
On the cost side, prices charged for French services rose only marginally, though the pace of increase picked up slightly following a renewed uptick in factory gate prices Meanwhile, French firms’ year-ahead expectations deteriorated sharply, reaching their weakest level since November of last year, amid lower budgets, concerns regarding the sales outlook and domestic political uncertainty.