Today the ONS’s Index of Services statistics revealed an overall output growth of 0.2% in the services sector in the three months to November 2025, an improvement from 0.0% growth reported for the three months to October 2025, and driving an overall GDP growth of 0.1%.

Professional, scientific and technical (PST) activities saw an overall decline of 0.8% for the same three-month period, an improvement from the 1.6% decrease reported for the three-month period to October 2025, while the November data alone shows a 1.7% increase. Annual data for 2025 also showed an overall 2.6% increase in output for the sector, above levels reported for the rest of the economy.

Chloe Austin, director and senior analyst in professional and business services at RSM UK, said: “With the Autumn Budget landing at the end of November, there was strong potential for the data to show a continued output decline fuelled by pre-budget uncertainty. This holds true for the professional, scientific and technical activities for the three months to November 2025, which saw a 0.8% decline in overall output, making it the largest negative contributor to the overall services movement. However, the picture is very different when you look at the standalone monthly data.

“The monthly data for November alone paints a much more positive picture for the sector, showing a 1.7% increase in output and the largest positive contribution for the month. This is largely driven by the ‘accounting, bookkeeping and auditing activities; tax consultancy’ industry (up 4.6%), and the ‘scientific research and development’ industry (up 4.5%). This is a promising sign of bounce-back following slower summer months, and despite the continued impact of pre-budget jitters.

“This indicates that there is resilience in the sector. The annual data is particularly promising, showing a 2.6% increase in output despite blips in the past few months. However, there is still work to be done, with monthly revenue movement showing no growth in professional, scientific and technical activities, and breaking the trend of revenue increasing despite output decreasing seen in previous months.

“To maintain a positive trajectory in 2026, professional and business services firms should focus on improving output levels in the coming months, which requires strategic investment and planning. With interest rates predicted to edge down to 3.5% in 2026, there is more scope for firms to consider external investment opportunities with reduced risk. While interest rate reductions won’t immediately filter through to long-term borrowing, it does allow firms to invest with more confidence than in recent years. There continues to be a lot of talk about private equity and mergers across the industry, and the potential growth opportunities that this offers. This latest data is unlikely to turn the tide in this regard.

“If professional services firms can move past the uncertainty that defined the pre-budget period, and focus on maintaining an increase in output, there is scope to return to the outperformance of the economy that characterised the first half of 2025.”

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