UK economy rebounds as services sector hits 16-month high

More clarity since election bolsters consumer spending and business investment

Britain's economy rebounded in January as fading political uncertainty since Boris Johnson's election victory helped service sector companies record the strongest upturn in activity since mid-2018.

The services sector - which includes banking, insurance, restaurants and hotels - makes up about 80% of the economy. According to the latest snapshot from IHS Markit and the Chartered Institute of Procurement and Supply, business activity grew for the first time since August.