Services growth steady but sector continues to cut jobs

GROWTH in the services sector held firm in February but businesses cut jobs for the 17th month running as people were replaced by technology and bosses offset bigger bills.

- BY ANNA WISE

Moore, S&P economics director, said: “February data pointed to a solid reduction in employment numbers, despite a sustained recovery in business activity.

Experts cautioned that the escalation of conflict in the Middle East could dampen sentiment in the month ahead.

The S&P Global UK services PMI survey scored 53.9 in February, down from the 54.0 in January — itself the highest result since August. Any reading above 50.0 signals growth.

The poll reported that firms were getting new work due to pent-up demand in Britain, with business and consumer spending picking up pace.