Pound hits 15-month high as UK GDP shrinks in May; sickness threat to economy – business live

Rolling coverage of the UK GDP report for May, and the Office for Budget Responsibility's latest report on the public finances

• UK economy shrinks by 0.1% in May after coronation festivities
• Rising UK interest rates threaten Sunak's fiscal plans, OBR to warn

The largest contribution to the fall in consumer-facing services in May came from food and beverage service activities.

GDP in the sector fell by 1.1% in May, after growth of 2.4% in April.

The health sector (nurses), rail network, education sector and the civil service all saw industrial action take place in May 2023 and this should be considered when interpreting monthly movements in these industries.

We also had some anecdotal evidence to suggest that the rail network industrial action had an adverse impact in terms of footfall for food and beverage service activities.

There was no industrial action by junior doctors in May 2023, compared with four days of industrial action in April 2023. There were two days of industrial action by nurses in England in May, compared with none in April.