UK services sector has biggest fall in orders for nearly three years

Data from the services sector, which includes finance, is watched by the Bank of England for early warnings signs from the economy. Photograph: Vuk Valcic/Zuma/Shutterstock

The UK’s dominant services sector has reported its biggest drop in new orders in almost three years in July, adding to pressure on the Bank of England to cut interest rates on Thursday.

Sounding the alarm over a loss of momentum amid a worsening global economic backdrop, the data provider S&P Global Market Intelligence said total new work in the sector, which accounts for about 80% of the economy, eased to the slowest pace since November 2022.