Growth in Irish services sector speeds up again in April

Growth in the Irish services sector accelerated sharply again in April to reach its highest level in almost a year as firms reported a steep increase in new orders.

The AIB S&P Global Purchasing Managers' Index (PMI) rose to 58.4, just above the level it was at in February before slipping to 55.7 in March. The index has stayed above the 50 mark, separating growth from contraction for over two years.

In a positive sign ahead of the summer, the tourism, transport and leisure sector expanded for the second successive month following a period of contraction between August and February.

However, inflationary pressures remained elevated across the sector, with businesses reporting upward pressure on costs, in particular wages.

The sub-index measuring input price growth slowed a touch to 65.9 while prices charged were almost unchanged at 58.5, unlike a separate PMI survey of manufacturers on Tuesday that found input prices falling for the first time in almost three years. -Reuters