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Service growth still strong despite costs

Energy costs - Service firms see increase
Energy costs - Service firms see increase

The latest report on the service sector shows a strong increase in activity in July, though the rise was not as sharp as in the last three months.

The NCB Purchasing Managers' Services Index recorded 63.1, down from 65.3 in June, with substantial rises in business activity and new business. Any figure above 50 signals growth.

Employment rose sharply again, with the index posting 59.5, though this was down slightly from July's 60.5.

But firms again reported that higher salaries and rising fuel prices lifted costs. The costs index was 64.9, while the index for prices charged by companies was 52.6. Both figures were lower than in June.