UK services sector felt the chill from the Beast from the East
The slowdown in services could lead to a dip in GDP growth, IHS Markit said
New data has revealed activity in the UK services sector fell to its lowest level since the Brexit vote in March, due in large part to bad weather conditions.
The latest IHS Markit purchasing managers’ index (PMI) for services business activity dropped from 54.5 in February to 51.7 last month, the weakest service sector performance since July 2016.
Read more Construction suffers biggest drop in activity since Brexit vote The pound dropped against the dollar when the numbers were released, tumbling by around 0.3 per cent to $1.404, before recovering to hover around $1.406.
According to the research, survey respondents “noted that snow disruption and unusually bad weather conditions in March had been a key factor holding back business activity growth”. The UK was brought to a near-standstill several times throughout the month as the Beast from the East brought strong winds, icy temperatures and heavy sno..