Starting a new business? Get 40% off our accountancy services for 3 months! 😀


According to the latest Purchasing Managers Index, the UK services sector dipped to 51.3 during October, from September’s figure of 52.9. A decline had been expected by analysts, but to 52.0. A survey by Markit, a data analyst company revealed that demand had slowed down in October. A reading on the Purchasing Managers Index which is above 50 is an indication of growth, while figures below 50 are an indication of contraction.

Respondents of the survey said that clients were hesitant when it came to committing to new contracts, as a result of the uncertain economy. The euro-zone crisis is creating hesitancy among businesses which is having an adverse effect on demand. According to the National Institute of Economic and Social Research, the UK is at risk of falling back into recession in the near future, with an increased risk if the euro-zone crisis remaining unresolved.

In 2010, growth was at 1.8 percent. According to predictions by NIESR, growth is expected to fall to 0.9 percent in 2011 and even further to 0.8 percent by 2012. As the economy worsens, UK spending will increase on payments of benefits as unemployment rises and tax revenue would decrease. A spokesman for the Treasury pointed out that growth had increased by 0.5 percent during the quarter ending in September, making a positive statement for the UK.

However, economists predict that growth will either stay level or drop as unemployment rises, the euro-zone crisis takes effect and a high rate of inflation and the government spending cuts take hold.

Inline Feedbacks
View all comments

Read more posts...

Umbrella Companies for Self-Employed Contractors

When you set up in business as a contractor you might either work as a sole trader or as a limited company….

Read More

Get Ready for Small Business Saturday UK 2022

Small Business Saturday started in the US in 2010, on the first Saturday following Thanksgiving. It aims to encourage shoppers to consider…

Read More

Architects and Tax

Architecture is a highly diverse sector when it comes to tax. It’s partly down to the type of businesses that carry out…

Read More
Back to Blog...

Confirm Transactions

The number of monthly transactions you have entered based on your turnover seem high. A transaction is one bookkeeping entry such as a sale, purchase, payment or receipt. Are you sure this is correct?

Yes, submit my quote
No, let me change it

Please contact our sales team if you’re unsure

VAT Returns

It is unlikely you will need this service, unless you are voluntarily registered for VAT.

Are you sure this is correct?

Yes, the business is VAT registered
No, let me change it

Call us on 020 3355 4047 if you’re not sure.


You only need this service if you want us to complete the bookkeeping on your behalf.

Would you prefer to complete your own bookkeeping?


Call us on 020 3355 4047 if you’re not sure.