Business Services Help Sector Growth Of 3.4%

The index of services published by the ONS suggests that the service sector grew by 3.4% in July 2014 compared with july 2013. All the major components of the services index experienced growth in the month compared with the same month a year ago.

Business services made the largest contribution with an increase of 1.9% and distribution,hotels and restaurants contributed 0.7%.

The monthly comparison between June and July 2014 shows that output increased by 0.3% for the fourth consecutive month. The quarterly comparison shows that between Q1 and Q2 there was 1.1% growth, an upward revision of 0.1% from the second estimate of GDP to be consistent with the Quarterly National Accounts.

Services Index Increase By 3.1%

The index of services published by the ONS increased by 3.1% in March 2014 compared with March last year. All four of the main components reported an increase on the same month a year ago. Business services and finance made the biggest contribution to the growth with an increase of 1.6%, distribution, hotels and restaurants also made a contribution to growth of 0.9%.

Between February and March 2014 there was estimated growth of 0.4% after growth of 0.2% between January and February. The quarterly comparison shows that output increased by 0.9% in Q1 compared with Q4 2013, unchanged from the estimate published in the preliminary estimate of GDP and consistent with the second estimate.

Services Index Increase Of 2.7% In February

All four of the main components of the index of services increased in February 2014 and it resulted in an increase of 2.7% in the total index in February.

The largest effects came from business services and finance with an increase of 1.4% to the total and distribution, hotels and restaurants which contributed 0.7% to total growth. The transport, storage and communication sector added and increase of 0.09% and government and other services 0.44%.

The monthly comparison of figures in the index of services shows that output in services increased by 0.2% between January and February 2014.

Business And Finance Drive Services Growth

Business and financial services made the biggest contribution to growth in services in August 2013 according to the ONS. An increase of 0.8% from business and finance helped the index of services grow by 1.5% in August 2013 compared with August 2012. Output grew by 0.4% in the month between July and August.

Services Output Up 2%

The index of services for October 2012 compared with October 2011 was estimated to have increased by 2% according to a statistical bulletin from the ONS. All 4 components increased output: business services and finance by 2.8%, government and other services by 1.8%, transport, storage and communication by 2% and distribution, hotels and restaurants by 0.6%.

On the monthly comparison service sector output was said to have increased by 0.1% between September and October 2012. Business services and finance and transport, storage and communication both grew over the month by 0.8% and 1.1% respectively. Government and other services and distribution, hotels and restaurants both decreased by 0.5% and 1.3% respectively offsetting the increases.

Services Index Increases Again

The index of services (seasonally adjusted) increased by 0.7% in July 2012 compared with July 2011. There were increases in three of the four services index components - distribution, hotels and restaurants, transport, staorage and communication, business services and finance and government and other services. The largest contributors to the increase were government and other services with an increase of 1.6% and business services and finance with an increase of 0.8%.

Services Index Up 2%

The index of services from the ONS for April 2012 was up 2% on April last year. Between March and April 2012 there was no change in the index.

All four components grew in April on the month on a year earlier comparison. Business services and finance rose by 2.1%, transport, storage and communication rose by 4.8%, government and other services grew by 1.3% and distribution, hotels and restaurants grew by 0.9%.

The main upward contributions in the transport, storage and communication sector came from computer programming, consultancy and related activities (8.1%) and telecommunications (9.9%). In business services and finance the main upward contributions came from administrative and support services (6.7%) and other professional services (6.2%).

Services Growth 0.8%

The index of services for February 2012 from the ONS increased by 0.8% compared with February 2011. The largest contributions to the increase of the three sectors that increased were from business services and finance and government and other services both of which grew by 1.1%. On the monthly analysis the sector fell by 0.4%. The increase in business services and finance came mainly from professional services activities with an increase of 5.1% and administrative and support activities with 4% growth. Government and other services increase came mainly from increases in human health and social work activities which increased by 2.3%. The only one of the four major components of the index to see a decrease was distribution, hotels and restaurants which fell by 0.2%.

Service Sector Increases Growth

The index of services published by the ONS shows that the services sector grew by 2.4% in December 2011 compared with December 2010. All components of the service sector index reported growth. The biggest contributors to the increase were business services and finance which grew by 2.9% and government and other services which grew by 2.3%. The sector also increased on the monthly comparison by 0.2%.

The main contributors of the five components of the business services and finance section were other professional services and real estate. All five components showed an increase. Output increased in five of the six components of the government and other services category with human health and social work activities providing the main contribution with an increase of 3.1%

The public strike on the 30 November probably has an effect on the index but it is difficult to measure the effect directly.

Service Sector Growth In October

The services index published by the ONS showed that the sector grew by 1.1% in October 2011 compared with 2010. The sector output decreased between September and October 2011 by 0.7%. Three of the four main components of the index grew with government services increasing by 2.3%. Business services and finance increased by 1.5% compared with October 2010.

Services Output Increased 1.6% Over the Year

The index of services published by the ONS increased by 1.6% in June 2011 compared with June 2010. There was an increase in all components.

The largest contribution was made by business services and finance which rose by 1.6%, its highest increase since October 2010. Hotels and restaurants increased by 3.6%, the highest since February 2008, transport, storage and communication by 3.4% and government and other services by 1.2%.

Output in the services sector fell by 0.1% over the month between May and June 2011. While output grew in hotels and restaurants by 2% and government and other services by 0.2%, it remained as it was in business services and finance and fell by 1.6% in transport, storage and other services and by 0.7% in distribution.

Services Up 1% On The Year

The latest statistical bulletin on the seasonally adjusted index of services for March 2011 shows an increase of 1% on March last year. Business services and finance made the most significant contribution to the increase with an increase of 1%. Four of the five components of the services index showed an increase.

Business And Finance Lead Services Growth In February

The seasonally adjusted index of services from the ONS increased by 1.5% in February 2011 compared with February 2010. All of the five components of the index recorded an increase but the largest increase was in business services and finance with an increase of 1.5%. The largest contribution to the increase was from computer services with 7.1% which contributed 1.5 percentage points to the 1.5% increase.

Looking at the most recent month on a year earlier distribution increased by 1.6% with wholesale contributing 3.7%. Transport, storage and communication increased by 2.7% with post and telecommunications contributing a 7.7% increase or 3 percentage points to the 2.7% increase. Government and other services increased by 1.2%. Health and social care made the largest contribution with an increase of 4.3% or 1.4% to the increase. Hotels and restaurants increased by 0.5%.

Business Services Lead Increase In Services Index

The index of services from ONS rose by 2.5% in September 2010 compared with September 2009. There were increases in all five components. Business services and finance grew by 3.4%, distribution by 1.8%, hotels and restaurants by 4.9%, transport, storage and communication by 1.1% and government and other services by 1.8%.

Services Rise By 2.7%

The ONS index of services for August 2010 showed an increase 2.7% up on August 2009. Distribution showed the biggest increase of the five components that make up the services index with a rise of 5.5%. Business services and finance came next with an increase of 3.4%. Hotels abd restaurants increased by 1.9%, Government and other sevives by 1.3% and transport, storage and communication by 0.4%.

Distribution showed the biggest rise over the last three months but over the last month it was business services and finance with 1.4% that made the biggest increase with distribution falling by 0.7%. The main contributor to the 5.5% rise in the distribution component was a 7.6% increase in the wholesale sector. Computer services contributed a 10% rise to the business services and finance increase of 3.4%. Health and social work also contributed a 3.4% rise.

Distribution Drives The Increase In Services

The ONS index of services rose 1.2% in July 2010 compared with July 2009. The main contributor to the change was the distribution sector which increased by 4.7% with wholesale increasing by 6.5% and retail by 3.9%.

Services Output 2.1% Up On Year

The Index of Services, published by the ONS, rose 2.1% over the year from May 2009 to 102.5 in May 2010 (seasonally-adjusted). All five components increased in the most recent month on a year earlier. The biggest rise was in business services and finance which rose 2.5%. It rose 1% over the month.

Distribution output increased by 4.5% notably motor trades which rose by 12.5% and retail which rose by 4.1%. Government and other services increased by 1% within which the greatest contribution was from health and social work which contributed 2.6% in output and 0.9 to the overall 1%.

Services Increase Output By 1%

The ONS Index of Services rose by 1% in April 2010 compared with April 2009. All five components saw an increase in output in the most recent month on a year earlier. Distribution made the largest contribution with an increase of 4.6%.

The motor trades made the largest contribution within distribution with an increase of 10.3%. Retail also made a significant constribution with an increase of 3.4%. Hotels and restaurants increased by 0.4% with the biggest increase coming from restaurants. Transport, storage and communication increased output by 0.2% with transport services making the most difference with an increase in output of 4.7%. Business services and finance increased its output by 0.4% in April 2010 compared with April 2009. Real estate made the biggest contribution with an increase in output of 2.6% which added 0.8 percentage points to the 0.4% increase. Government and other services increased their output by 0.5% and the largest contribution came from health and social care which increased by 3.1% adding 1 percentage point to the 0.5% increase on last year.

Business Services Help GDP Estimates

GDP increased 0.2% in the first quarter of 2010. The increase was mainly due to business services and finance and manufacturing. The service industries increased by 0.2% and the production industries by 0.7%. A year-on-year comparison shows GDP decreased by 0.3% in Q1.

Positive Indicators In Services

The index of services from the ONS reported a positive index number for the first time since October 2008. The total service industries indicator increased by 0.1% year-on-year in February 2010 after a fall of 1.2% in January. The monthly indicator also increased by 0.6% on January 2010.

Three of the five components that make up the index reported positive indicators. Distribution increased 3.7% mainly due to the increase retail of 5.4%, transport, storage and communication 0.6% partly due to transport services, and Government and other services 0.1% due to health and social work increasing 2.4% but being partly offset by a fall in recreation of 5.5%. The other two components, hotels and restaurants and business services and finance, both recorded decreases of 0.9% and 1% respectively. The main factor in the decrease in the indicator for hotels and restaurants was pubs and clubs. The business services and finance sector decrease was mainly down to banks with a decrease of 6.8%.