British economy expected to show recovery as services sector output hits four-month peak

The UK economy is expected to have picked up from a sharp slump at the beginning of the year after output in Britain's powerhouse services sector surged to a four-month high in April.

The closely-watched Markit/CIPS purchasing managers' index (PMI) reached 55.8 last month up from 55.0 in March and above economists' forecasts of 54.4.