UK services PMI charges past forecasts, Markit reveals
UK services activity grew more than forecast in November, Markit has revealed in its purchasing managers' index (PMI) report.
The PMI rose to 58.6 in November from 56.2 in October, more than the 56.5 forecast by analysts. A reading above 50 signal expansion.
Markit said the UK service sector indicated a "strengthening of activity growth amid reports of firm demand and rising volumes of new business".
Chris Williamson, chief economist at Markit, added: “Faster growth of services activity brings welcome news that fears of a potentially sharp slowdown in the economy look overplayed.
"The upturn in the service sector offset slower growth of factory production and construction activity in November, lifting the overall pace of economic growth from October’s 16-month low."
Capital Economics senior economist Samuel Tombs said the report provides reassurance that the UK's economic recovery has remained strong despite a weaker global environment. He predicts gross domestic product (GDP) will to grow by 3% in both 2015 and 2016.