UK services sector PMI: Growth smashed expectations in June
Growth in the UK services sector beat economists' expectations last month, suggesting economic growth will pick up in the second quarter of this year.
The widely watched Markit/CIPS UK services PMI came in at 58.5, beating economists' expectations of 57.5, and above May's five-month low of 56.5. It was above the crucial 50 mark which indicates growth.
"The survey data are indicating an acceleration of economic growth to 0.5 per cent in the second quarter, up from 0.4 per cent in the first three months of the year," Chris Williamson, chief economist at Markit, said.
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Separate surveys released earlier this week showed the UK construction sector continued to rebound in June, however growth in the manufacturing sector remained sluggish.
"Growth will have to accelerate further in the second half of the year to meet the Bank’s 2015 forecasts of 2.5 per cent, and faster growth is by no means assured."
(Source: Markit)