The services sector is still in decline as the lockdown continues to impact pubs, bars and restaurants. (Dominic Lipinski / PA)Restrictions on travel, leisure and hospitality due to the ongoing lockdown restrictions saw the UK’s all-important services sector continue to shrink in February, according to new data. The PMI for services has now come below 50 for four consecutive months, although a score of 49.5 was the highest score during those months, suggesting the sector stabilised as the lockdowns progressed. It added that difficulties continued to persist with the new trading arrangements with the EU continuing to have an impact on firms. There were also signs of inflation, with a sharp and accelerated increase in average cost burdens at service sector companies, primarily due to higher fuel bills and shipping costs.

Source: Irish Independent March 03, 2021 11:06 UTC