The FTSE 100, which houses several global companies that draw a large part of their revenue in dollar, dropped 0.8% as sterling rose 0.3%. [GBP/]
Data showed Britain's economy grew unexpectedly in May, driven by a rise in doctor appointments and demand for holidays, likely reassuring the Bank of England about its plans to keep on raising interest rates.
The wider European markets also fell ahead of U.S. data expected to show another surge in inflation. The domestically focussed FTSE 250 index slipped 0.2%.
Pub operator J D Wetherspoon slid 6.2% after it warned of losses this year due to higher labour and marketing costs and said quarterly sales were slightly lower than pre-pandemic levels as customers drank less beer at its pubs.
Peers Mitchells & Butlers and Marston's slipped almost half a percent each.
Asset manager Abrdn fell 3.6% after Barclays downgraded the stock to "underweight".
(Reporting by Sruthi Shankar in Bengaluru; Editing by Arun Koyyur)