Economic Buzz: UK services PMI falls further in June as weak demand weighs on activity

Mumbai, July 3 -- The UK services sector contracted for a second consecutive month in June, with business activity falling at its fastest pace in nearly three-and-a-half years as weak domestic demand and global uncertainty weighed on the economy, according to the latest S&P Global PMI survey.

The S&P Global UK Services PMI Business Activity Index slipped to 48.8 in June from 49.3 in May, remaining below the 50.0 no-change mark and recording its lowest reading since the start of 2023.

Businesses cited weak domestic economic conditions, geopolitical uncertainty linked to the Middle East conflict and cautious client spending. Consumer-facing firms also reported lower footfall during the late-June heatwave, although some hospitality businesse...