Services Prices Up In Q3

The net sector aggregate of selected services producer prices indices 12 month inflation figure rose by 2.4% in the third quarter of 2011 and the gross sector aggregate also rose by 2% according to the latest statistical bulletin from the ONS. The net sector aggregate fell 0.1% between the second and third quarters and the gross aggregate by 0.2%. The 0.1% fall reflects decreases in prices in freight forwarding, advertising placement and sea and coastal water freight.

The services PPI (formerly the Corporate Services Price Index or CSPI) measures changes in the prices of services provided by UK businesses to other UK businesses and government.

SPPI Up 2.4%

The services producer prices index (net aggregate) rose by 2.4% in Q2 2011 compared with Q2 2010 according to ONS. Growth between Q1 and Q2 2011 was 0.9%.

The biggest price increases contributing to the quarter on previous quarter percentage changes were made by advertising placement and sewerage services with 0.33% and freight transport by road offset by a fall in prices for freight forwarding.

Services Annual Inflation Up To 2.9%

The latest services PPI from the ONS says that 12 month inflation rose 2.9% in the first quarter of 2011 compared with a 2.7% rise in the last quarter of 2010. The latest quarter on previous quarter inflation figure was an increase of 1%.

The largest upward effect came from sorted recovered materials services with freight transport by road and freight forwarding also having an upward effect. Market research input inflation was 0.7% latest quarter on previous quarter and 1.3% annual inflation, advertising placement quarterly inflation was 2.5% and annual inflation 5.5%.