Growth in UK services sector declines in November

The UK services sector expanded at a slower rate than expected in November, ending the run of positive surprises for UK economic data.

The Purchasing Managers’ index (PMI) for services recorded a reading of 60 in November, which was lower than the expectations of 62 and lower than the 62.5 recorded in October.

However, with any reading of more than 50 indicating expansion, the data shows that the services sector, which makes up a large proportion of the UK economy, grew substantially in November.

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The services PMI comes after the manufacturing and construction PMI readings showed that the expansion in those two sector was the largest for six years in November.

With significant growth in the manufacturing, construction and services sectors, hopes with now be high that the UK will see substantial economic growth in the fourth quarter of 2013.