U.K. economy's 'worst month' since Brexit vote aftermath

BUSINESS

U.K. economy's 'worst month' since Brexit vote aftermath

The Associated Press Published Wednesday, July 3, 2019 5:26AM EDT

British Union flags fly in front of The Houses of Parliament in London, Tuesday, Jan. 22, 2019. (AP Photo/Frank Augstein)

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LONDON -- A closely watched survey of business activity in the U.K. is showing that the economy contracted in June at its steepest rate since the immediate aftermath of the country's vote three years ago to leave the European Union.

The survey from financial information firm IHS Markit and The Chartered Institute of Procurement & Supply also found the second-steepest fall in output since the height of the global financial crisis a decade ago.

The survey's main "all-sector" purchasing managers' index fell in June to 49.2 from 50.7 the previous month, suggesting that a contraction is underway.

Chris Williamson, chief business economist for IHS Markit, said Wednesday that business sentiment "remains worryingly subdued" and that one of the main reasons is Brexit uncertainty.