GROWTH in the key UK services sector slowed to its weakest pace in five months in May, a survey has revealed, raising further questions over the momentum of the broader economy.
Howard Archer, chief UK economist at consultancy IHS Global Insight, declared that the weaker services growth "puts a dent into hopes that GDP (gross domestic product) growth will pick up markedly in the second quarter".
Official figures have shown that UK growth slowed to just 0.3 per cent in the opening three months of this year, from an already below-trend pace of 0.6 per cent in the final quarter of 2014.
The survey, from the Chartered Institute of Procurement & Supply, also shows a slowdown in growth of new business for services companies.
CIPS's headline business activity index for services fell from 59.5 in April to 56.5 in May on a seasonally-adjusted basis.
While above the level of 50 deemed to separate expansion from contraction, it signalled the weakest pace of growth since December.
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