UK Services Sector Surges Again as February Growth Hits 0.5%

The Office for National Statistics reports that the UK services sector continued its steady recovery into early 2026, building on gains seen late last year. Services output rose by 0.5% in the three months to February 2026, with 10 of 14 sectors expanding. The strongest growth came from wholesale and retail trade, up 1.4%, and information and communication, which increased by 1.6%. However, some areas lagged, with administrative and support services falling by 0.8%. In February alone, services output increased by 0.5%, following earlier rises of 0.1% in January and 0.3% in December. Growth was widespread, with 12 of 14 sectors improving. The biggest monthly gains came from administrative and support services, which jumped 2.0%, and wholesale and retail trade, up 0.7%. The only decline came from accommodation and food services, which slipped by 0.3%.