UK Private Sector Growth Slips to 10-Month Low in December

Source: IHS Markit

The United Kingdom’s private sector growth decelerated to a 10-month in December, as consumer spending was dragged by concerns on the COVID-19 Omicron variant. EWU is up 0.64%.

• The seasonally adjusted IHS Markit / CIPS Flash UK Composite Output Index declined to a 10-month low of 53.2 in December from 57.6 in November.
• Output growth posted a steep decline amid the implementation of tighter restrictions, along with the renewed uncertainties on business.
• Manufacturing output grew to a four-month high of 53.3, driven by work on unfinished orders and indications that supply constraints have stabilized.
• The latest increase in average cost burdens softened from the record-high in November, while prices charged inflation fell to a four-month low.
• Optimism for the coming year declined for the fourth straight month, reflecting the decline in confidence of consumer service providers.