Speakers from Touchstone Exploration, Shanta Gold, Savannah Resources and Kavango Resources feature in our Natural Resources webinar on May 25th. Please register here.

Less Ads, More Data, More Tools Register for FREE

UK job losses accelerate in August, PMI shows

Thu, 3rd Sep 2020 09:30

LONDON, Sept 3 (Reuters) - Job losses at British companies
accelerated in August despite an upturn in demand, a survey
showed on Thursday, in a bleak sign ahead of the closure of the
government's coronavirus furlough scheme at the end of next

The IHS Markit/CIPS Composite Purchasing Managers' Index
(PMI), a monthly gauge of activity in services and manufacturing
companies, rose to a six-year high of 59.1 from 57.0 in July.

Still, that was revised down from a preliminary "flash"
reading of 60.3, hinting at a weaker end to activity last month.

Some economists view the current strength of the PMI with
scepticism because it reflects an inevitable increase in
businesses reporting growth as the economy reopens, rather than
a recovery in output that could take years.

The survey's index of employment declined for the first time
in three months - chiming with widespread reports of layoffs
from major employers grappling with the hit from the pandemic.

Chris Williamson, chief business economist at IHS Markit,
said companies' ability to cope with the withdrawal of economic
support measures like the furlough programme was now the
"burning question".

The government's job retention scheme has supported almost
10 million jobs in total since its launch in April.

"Worryingly, many companies are already preparing for
tougher times ahead, notably via further fierce job cutting,"
Williamson said.

"Policymakers face a huge challenge in sustaining this
recovery and avoiding a 'bounce and fade' scenario."

The services PMI rose to 58.8 in August from 56.5 in July,
the highest reading since April 2015, although it was revised
down from a preliminary reading of 60.1.
(Reporting by Andy Bruce; Editing by Hugh Lawson)

More News

EU's Breton: EU did not renew Astrazeneca COVID-19 vaccine order for after June

PARIS, May 9 (Reuters) - European Internal Market Commissioner Thierry Breton said on Sunday the European Commission did not renew its order for AstraZeneca vaccines against COVID-19 for after June.The European Commission last month launched legal...

Today 11:30

ECB's Rehn calls for change to ECB’s inflation target in line with Fed approach- FT

May 9 (Reuters) - The European Central Bank should follow the U.S. Federal Reserve by accepting an overshooting of its inflation target to make up for many years of sluggish price growth, Finnish central bank chief Olli Rehn told the Financial Ti...

Today 11:19

UK PM calls summit as Sturgeon says 2nd referendum is will of Scotland

UK PM calls summit as Sturgeon says 2nd referendum is will of Scotland

Today 09:49

Soccer-Man City made to wait for title by Chelsea, Liverpool boost top-four hopes

By Martyn HermanLONDON, May 8 (Reuters) - Hundreds of Manchester City fans gathered outside the Etihand Stadium for a Premier League title celebration that proved premature as Chelsea ruined the script with a last-minute 2-1 victory on Saturday.City ...

8 May 21 23:49

Login to your account

Don't have an account? Click here to register.

Quickpicks are a member only feature

Login to your account

Don't have an account? Click here to register.