UK business growth picked up further in August as warm weather helped support a recovery from service sector firms, figures show.
The closely watched S&P Global flash UK composite purchasing managers’ index (PMI) reported a reading of 52.5 for the month, rising from 52.2 in July.
The flash figures, which are based on preliminary data, pointed to the strongest growth since April.
Any score above 50.0 indicates activity is growing while any score below means it is contracting.
The reading is stronger than expected, with economists having predicted a rise of 51.5 for the month.
Chris Williamson, chief business economist at S&P Global Market Intelligence, said: “The UK economy picked up a bit more pace in August, adding to signs that we should see solid economic growth of around 0.3% in the third quarter.
“The expansion is being helped by sunny weather and tech investment, though as expected we have seen some softening of growth in the manufacturing sector as precautionary stock building cools.
“This reflects easing concerns, for now, over the economic impact of the war in the Middle East.”