| 25 May 2024, Saturday |

UK recovery slows as staff shortages plague firms

Staff and supply shortages have taken their toll on the UK’s economic recovery this month, according to a closely watched survey.

The IHS Markit/CIPS Composite Purchasing Managers’ Index (PMI) for August hit a six-month low of 55.3, falling from 59.2 in July.

Any reading above 50 indicates growth, but the bounce-back from the pandemic is losing momentum, said researchers.

CIPS group director Duncan Brock said the figures were “a stark warning”.

He said the “abnormally large slowdown in overall activity” suggested that the accelerated levels of growth seen earlier in the summer were “not sustainable”.

“The worst shortages of staff and materials on record are mostly to blame,” he added.