UK private-sector activity expanded more than expected in March, with the preliminary S&P Global Composite PMI rising to 52.9 from 51.5 in February and exceeding economists' forecast of about 51.8. A reading above 50 indicates expansion. Services led the improvement at 53.4, while manufacturing climbed to 50.8 and returned to growth after a brief contraction. The data, collected from March 12 to 20, showed stronger new orders and improved business confidence as diplomatic efforts to ease Middle East tensions reduced concerns about energy prices, supply chains and geopolitical instability. Chris Williamson, Chief Business Economist at S&P Global Market Intelligence, said stronger demand and confidence suggested the UK economy was gaining traction, while reduced geopolitical risks were encouraging firms to revive investment and hiring plans. The figures support a cautiously more resilient economic outlook, although elevated energy and wage costs, service-sector inflation and external risks remain. Sterling strengthened against the dollar and euro, while gilt yields edged higher as markets priced in a less dovish path for the Bank of England. The stronger reading reduces the likelihood of an imminent rate cut, though markets still expect some easing by mid-year. Economists caution that one month's data does not establish a trend, with future momentum depending on Middle East tensions, service-sector inflation and global demand.