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Service industries: Key Economic Indicators

Published Thursday, October 11, 2018

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 2017, the service industries accounted for 79% of total UK economic output (Gross Value Added) and accounted for 83% of workforce jobs in March 2018.

Services Output

In the three months to August 2018, services output increased by 0.5% compared with the three months ending May 2018. The Index of Services was flat between July and August. The largest contributions to this growth came from the wholesale, retail and motor trade sector which contributed 0.21% points.

Compared with a year before, services output increased by 1.6% in the three months to August 2018.

Services output saw no growth in August 2018 compared to July 2018. This follows growth of 0.3% in July 2018 compared to June 2018.

Services output

Purchasing Managers’ Index (PMI)

In the Markit/CIPS PMI, 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 was 53.9 in September 2018, down from 54.3 in August. The September value was slightly above the average in 2018 so far (53.6).

During September, there was the fastest rise in employment numbers for seven months and an increase in new work. Brexit concerns and heightened economic uncertainty remained the main constraints on growth. There was a slight upturn in business confidence regarding the year ahead.

 

Commons Briefing papers SN02786

Author: Gloria Tyler

Topics: Economic situation, Service industries

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