UK private sector growth has slowed to a new 18-month low after factories were hit by “waning customer demand”, according to new data.
The closely followed S&P Global/CIPS flash UK composite purchasing managers index (PMI) report showed a reading of 50.9 for August, declining from 52.1 last month.
Anything above 50 is considered growth.
It was slightly below the expectations of analysts, with a consensus of experts compiled by Pantheon Macroeconomics predicting a reading of 51 for this month. Annabel Fiddes, economics associate director at S&P Global Market Intelligence, said: “The UK private sector moved closer to stagnation in August, as mild growth of activity across the service sector only just offset a deepening downturn at manufacturers….