Figures released this morning show that Britain's service sector continued to grow strongly in December, though at a slightly slower pace than November's six-year high.
The CIPS/Reuters business activity index recorded 58.8, compared with 59.6 in November. Any reading over 50 signals growth.
The growth reflects a stronger economic climate and significant growth in new business. Business sentiment improved again, hitting a new four-year high.
The employment index recorded 51.9, its highest level since March 2001, but inflationary pressures continued to creep up, mainly because of higher labour costs and increases in the prices of goods imported from the euro zone.
The Reuters Eurozone survey's key index of the service sector slipped to 56.6 in December from November's 37-month high of 57.5, with falls in all three of the biggest economies - Germany, France and Italy.
However NTC, which carried out the research, said the overall pace of expansion suggested the euro zone private sector had experienced its strongest growth for three years in the fourth quarter of 2003.
