Growth in the UK’s service sector continued to improve in November, according to a closely monitored survey.
The IHS Markit/CIPS purchasing managers’ index for the sector increased to 55.2, (previously 54.5 a month earlier) the highest figure since January.
A figure over and above 50 indicates that the sector is growing. This, despite uncertainty over Brexit.
The service sector makes up approximately 80{06aeb1921e0b802d2bd9c766bc98fb11cc6a46c2b0593ed9c88a0e29cf417a34} of the UK economy.
Price pressures
The fall in the value of the pound since the UK’s vote to leave the EU has pushed up the price of imported goods.
IHS Markit said price inflation for goods bought by service sector firms eased last month but remained “sharp”.
It said companies blamed inflationary pressures on “the weak sterling exchange rate driving up import costs such as food, higher fuel prices, international travel (again linked to exchange rates) and rising labour costs”.
Source: BBC Business News
