UK business activity rebounds into growth: data

The British private sector’s composite purchasing managers’ index hit a 61-month peak at 57.1 points in July. (AFP file photo)

• Composite purchasing managers’ index hits 61-month peak at 57.1 points in July

LONDON: Britain’s private sector economic activity returned to growth in July on easing lockdown restrictions, having plunged since March on coronavirus fallout, a closed watched survey showed Friday.
The composite purchasing managers’ index (PMI) hit a 61-month peak at 57.1 points in July, registering the fastest expansion since June 2015, compilers IHS Markit and the Chartered Institute of Procurement and Supply (CIPS) said in a statement. That compared with a reading of 47.7 in June.
The PMI has now jumped back above the key 50 level to indicate a rebound from contraction into growth.
“July data indicated a marked improvement in business conditions across the UK private sector economy following the easing of lockdown measures to contain the spread of the coronavirus disease,” Markit/CIPS added in the statement.
“The latest survey indicated a return to growth for the service sector and a much faster rise in manufacturing production than seen in June.”
The composite PMI last stood above 50 in February before the pandemic hit.