TAIPEI, Taiwan - April 24, 2018 - (Newswire.com)
Extreme and unseasonable weather conditions coupled with poor consumer demand had a negative impact on UK services sector in March. Evans Chamberlain Asset Management analysts say the UK services sector expanded at its slowest pace since just after the Brexit referendum in June 2016.
The IHS Markit Purchasing Managers’ Index (PMI) fell to 51.7 last month from a reading of 54.5 the month before. This was the lowest reading since July 2016 and a bigger drop than Evans Chamberlain analysts had expected.
While UK manufacturing maintained some momentum, the construction sector experienced a similar decrease according to official data released earlier this week.
Evans Chamberlain Asset Management analysts say that the data from the first three months of 2018 indicate that the UK economy expanded at a rate of just 0.3 percent, even less than the muted growth of 0.4 percent in the final quarter of last year.
Widespread disruption caused by extremely heavy snowfall in March caused the British economy to suffer its weakest increase in business activity since Britain voted to leave the European Union in June 2016.
A Siberian weather system that meteorologists referred to as “the Beast from the East” brought heavy snow and unseasonable sub-zero temperatures to much of the UK towards the end of February and at the beginning of March.
Evans Chamberlain Asset Management analysts attribute this year’s first quarter weak growth to poor consumer demand as well as uncertainty over Britain’s future after it leaves the European Union in 12 months’ time.
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Original Source: Evans Chamberlain Asset Management - British Economy Slowed in March
