World Economy

UK Private Sector Growth Stable

UK Private Sector Growth StableUK Private Sector Growth Stable

According to the latest survey from the Confederation of British Industry, UK private sector growth was “broadly steady” in May, while further “modest” growth is expected in the months ahead, Machinery Market reported. However, according to the CBI Growth Indicator survey covering the manufacturing, distribution and service sectors, “there are clear signs of uncertainty around the global outlook”. Rain Newton-Smith, director of economics at the CBI, said: “While underlying conditions for the UK economy are looking pretty stable, the risks are clear, with uncertainty still brewing over the global outlook. Expectations for growth have slipped and are well below the levels of the last few years, with uncertainty swirling around the pace of output and the impact from risks on the horizon.” The latest Markit/CIPS manufacturing Purchasing Managers’ Index rose to 50.1 in May from 49.4 in April, which had been the lowest reading since early 2013 (a figure above 50 indicates growth). This was a better result than had been forecast; economists in a Reuters poll expected a figure of 49.6.