UK services sector outstrips growth expectations

Britain's dominant services sector grew at its fastest pace for 16 years in the third quarter of the year, fuelling hopes that the overall economy will have performed better than already-buoyant expectations.

The closely watched Markit/CIPS purchasing managers' index (PMI) showed that activity in the sector - which accounts for three-quarters of UK output - increased at the highest rate since the second quarter of 1997 from June to September