As UK eases lockdown, services activity expands at fastest pace in 5 years

Output from the UK’s dominant services industry rose at the fastest pace since 2015 in July as more of the nation’s economy opened up after the coronavirus lockdown.

IHS Markit’s Purchasing Managers’ Index rose to 56.5 last month, up from 47.1 in June. While that is marginally below the 56.6 flash estimate, it is well above the 50 level that indicates expansion for the first time in five months.

New orders climbed as firms reopened and business expectations improved for a fourth straight month, Markit said. Employment, however, slumped amid concerns that longer-term demand won’t fully recover to its pre-Covid levels, and