UK Service Sector Growth High

UK Service Sector Growth High.

Over the last couple of days figures from Markit/CIPS have shown growth for both construction and manufacturing sectors. Today’s figures show that the services sector recorded its fastest growth for almost a year, the Markit/CIPS services purchasing managers index (PMI) reached 60.5 in August up from 59.1 in July.

Marketing activity also saw a rise as a result of demand for services remaining strong. The rise in growth was the sharpest rise since October last year. However, there have been concerns over the future of business activity resulting in a 15-month low in business confidence.

Chris Williamson, Chief Economist at Markit, said that “An acceleration of growth in the vast services sector and an on-going construction boom offset a weakened performance in manufacturing in August. The three PMI surveys indicate that the economy grew at the fastest rate since last November, providing further ammunition for policymakers arguing for higher interest rates.”