Monday, November 29, 2010

3rd Quarter Rough for U.K. Consumer Services, Worse Expected for 4th Quarter

The value and volume of consumer services sold in the United Kingdom fell unexpectedly during the third quarter of 2010, the CBI Service Sector Survey, published by the Confederation of British Industry, reports.

Of those businesses surveyed, 30 percent said the value of consumer services sold rose and 38 percent said it fell, giving a balance of minus-eight percent. That was weaker than the modest growth that had been expected (eight percent).

Looking at the volume of business, 23 percent of respondents reported a rise, and 41 percent a drop, giving a balance of -18 percent. That too was weaker than expected (nine percent). In the next three months, consumer services firms expect business values (minus-eight percent) and volumes (-20 percent) to contract further.

The latest quarterly CBI Service Sector Survey was conducted between 27 October and 10 November, and covered 169 service sector firms. They are divided into Business & Professional Services, such as accountancy, legal and marketing firms, and Consumer Services, such as hotels, bars and restaurants, travel and leisure.

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