Although the further improvement of confidence in the other services sector during the third quarter is a welcome development, this was limited to the business services sub-sector. The harsher lockdown and unrest hit confidence in all the other sub-sectors read more

Although the further improvement of confidence in the other services sector during the third quarter is a welcome development, this was limited to the business services sub-sector. The harsher lockdown and unrest hit confidence in all the other sub-sectors (accommodation, hospitality, transport and real estate).

Confidence in the other services sector rose for the fourth consecutive quarter, from 30 in the first quarter to 34 in the second quarter. Despite the increase, the level of confidence remained low relative to the other sectors covered by the BER, bar the read more

Confidence in the other services sector rose for the fourth consecutive quarter, from 30 in the first quarter to 34 in the second quarter. Despite the increase, the level of confidence remained low relative to the other sectors covered by the BER, bar the building sector. The upswing in real estate activity and land freight transport gained further traction. In contrast, the improvement in activity in hotels, restaurants and business services was modest. The move to adjusted alert level 4 on 28 June (i.e. after the completion of the survey), which prohibited alcohol sales and limited restaurants to take-aways, is likely to set back the recovery of restaurants and lead to another round of permanent closures and job losses.

Although the first quarter’s further improvement of confidence and activity in the other services sector are welcome developments, bar property sales, these indicators remained at deeply depressed levels. The absence of international tourists, as well as read more

Although the first quarter’s further improvement of confidence and activity in the other services sector are welcome developments, bar property sales, these indicators remained at deeply depressed levels. The absence of international tourists, as well as COVID-related restrictions (such as the permitted number of people at gatherings) and anxiety, are hurting the hospitality, conferencing, exhibition and passenger transport industry in particular. A stronger, sustainable recovery in these industries is only likely to start in 2022 once vaccinations have been rolled out more widely and international travel resumes. Growth in freight transport, property management and business services is likely to be pedestrian until the recovery of the rest of the economy gains further traction.

Other services confidence jumped from 17 in the third quarter to 27 in the final quarter of 2020. Although the 10-point jump is encouraging, the poor performance of especially hotels, restaurants and business services indicates that conditions were still far read more

Other services confidence jumped from 17 in the third quarter to 27 in the final quarter of 2020. Although the 10-point jump is encouraging, the poor performance of especially hotels, restaurants and business services indicates that conditions were still far from favourable in the other services sector.