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Service industries: Key Economic Indicators

Published Tuesday, December 5, 2017

Service industries: Data for the sector that incorporates the retail sector, the financial sector, the public sector, business administration and cultural activities.

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The service industries include the retail sector, the financial sector, the public sector, business administration and cultural activities.

In 2016, the service industries accounted for 80% of total UK economic output (Gross Value Added) and accounted for 84% of workforce jobs in December 2016.

Services Output

In the three months to September 2017, services output increased by 0.4% compared with the three months ending June 2017. The biggest driver of this growth was the computer programming sector which grew 0.10% followed by retail trade at 0.08%.

Services output increased by 0.1% in September 2017 compared to August.

Compared with a year before, services output increased by 1.4% in September 2017; this growth is at its lowest since October 2013.

 

Purchasing Managers’ Index (PMI)

The Markit/CIPS UK Services PMI is an important indicator of output and confidence in the sector. A value of 50 means that there is no change compared to the previous month. Values above 50 indicate an expansion, and values below 50 a contraction.

The UK services PMI fell from 55.6 in October to 53.8 in November, signifying slower growth in activity. Markit noted that while optimism for business activity over the next 12 months picked up, it remained weaker than it was over the first half of 2017.

PMI for services sector

Commons Briefing papers SN02786

Author: Gloria Tyler

Topics: Economic situation, Service industries

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