Business activity in the United Kingdom improved in July but at a slower rate than the previous month, according to a preliminary report by S&P Global released on Thursday.
The composite Purchasing Managers' Index (PMI) decreased by 1 point from the previous month to 51, but remained above the crucial 50.0 for a second month. A modest expansion in the service sector in July saw a 1.6-point decrease in the services PMI, and reached 51.2. Moreover, the manufacturing PMI went up by 1.5 points from June to stand at 48.2, hitting a six-month high.
"The weak growth trajectory and sustained culling of jobs will add to pressure on the Bank of England to cut rates again at its next policy meeting in August," S&P Global Market Intelligence Chief Business Economist Chris Williamson said. "The flash UK PMI survey for July shows the economy struggling to expand as we move into the second half of the year."
