Services sector slowdown worsened in July, report finds
A reading above 50 on the index indicates an overall increase, while a reading below 50 shows a decrease in comparison to the previous month's results.
The seasonally adjusted Business Activity Index dipped to 50.9 last month, down from 51.5 in June, signalling only marginal growth and marking the third softest increase since March 2021.
AIB chief economist David McNamara said data for July shows a further easing in growth in the sector.
'This marks the slowest pace of growth since January 2024, driven by softer output, new business and hiring activity,' he said.
Only three out of the four monitored sub-sectors recorded growth in July. Technology, media and telecoms (TMT) led the pack with a reading of 52.2, though its pace of expansion has also slowed significantly.
Business services and financial services both posted modest growth at 51.6, while transport, tourism and leisure declined for the fifth month in a row, with a score of 47.0, pointing to contraction.
International demand offered only a slight reprieve, with export trading improving marginally, recovering from June's contraction, but remained weak overall.
Despite sluggish sales, employment in the sector edged up for a sixth straight month, although hiring momentum faded, with job growth the weakest in that period and below the long-term average.
Cost pressures showed signs of easing, offering some relief to service providers. Input price inflation was the joint-lowest in over four years, with TMT firms reporting the softest cost pressures during the latest period while transport, tourism and leisure reporting the strongest.
Prices charged by companies rose at the same modest rate as June, with it is still the lowest in over four years, reflecting competitive pricing in a subdued market.
Sentiment among Irish services remained firm. 'Despite weak current activity level, firms in the Irish services sector remained optimistic on the prospect of improved business in the coming 12 months,' Mr McNamara said.
This optimism is driven by expectation of future infrastructure-related investments, though with caution due to the instability in today's markets.
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Irish Examiner
41 minutes ago
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The Journal
41 minutes ago
- The Journal
The millionaire millennial seeking the presidency: How did Gareth Sheridan get so rich?
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The Irish Sun
3 hours ago
- The Irish Sun
From college days & glam wife to award-winning company – Inside Gareth Sheridan's life as he announces run for president
Gareth seems to be taking some inspiration from his colleague's presidential bid NEW MOVE From college days & glam wife to award-winning company – Inside Gareth Sheridan's life as he announces run for president BUSINESSMAN Gareth Sheridan is the latest person to announce his plans to run for the Irish presidency. The 35-year-old south Dublin native, who said Ireland's youth have "nothing to vote for", could become the youngest ever presidential election candidate if he manages to get on the ticket. 5 Gareth Sheridan will be the youngest ever candidate if his name makes it on to the ballot Credit: Alf Harvey 5 Gareth has stepped down as CEO of his company to run for the position Credit: Nutriband 5 The new candidate is a dad-of-one alongside his wife Heidi Mae Credit: Alf Harvey With Michael D Higgins' term finishing in November, an election for a new president is expected to take place sometime in October. Several political figures have made their intentions to run for Aras clear including Catherine Connolly and Mairead McGuinness. And even dance star Michael Flatley has expressed interest in running for the role. The latest to join the growing list of hopefuls is businessman Gareth Sheridan - but he needs the support of four local authorities to get on the ballot paper. The Dublin entrepreneur told RTE he's running for presidency to be a "representative for everyone", particularly the young people of Ireland and the "under 40s who can't buy a home". Speaking to RTE's News At One Gareth stressed his commitment to "giving the younger generations who are the engine room of the country a voice." And the businessman said he does not believe it should be a politician taking over the role. Speaking to RTE's News at One he commended Michael D Higgins but said: "I don't believe the position of President should be that of a politician." He continued: "I think it's important that the only candidates we consider in this upcoming election don't come from only within party ranks. It would be comedy gold to see Bertie in Aras an Uacht-Ahern, says Mario Rosenstock as he marks 25 years of Gift Grub "The people of Ireland should choose the President of Ireland and not the people of Leinster House. "I don't think transitioning now to affiliate with a party would make sense" But who is the business tycoon throwing his hat in the ring? We have outlined everything you need to know about Gareth Sheridan's life. COLLEGE EDUCATION The Tenure native graduated TUD with a BSc in Business and Management in 2012. It was with this degree under his belt Gareth went on to found pharmaceutical company Nutriband. The company's main focus is "innovative drug delivery systems" and devices designed to improve patient outcomes. The model is largely based on the idea of a nicotine patch, but for vitamins etc. The idea for the company was first-born as Gareth completed his thesis while studying in Dublin. Speaking to the Local Enterprise Office he said: "I'd always wanted to do something, and this idea came from my thesis that I was working on for college. "The more research I did, I started realised that there was something here and I decided to give it a lash. "Thankfully since then it has gone in the right direction." COMPANY SUCCESS Nutriband was founded in 2012 with Gareth at the forefront as CEO. The health company have entered major deals as a subsidiary of US nutritional giant Nutranomics. The company was valued at €100million in January. And Gareth has reeled in several awards amid the company's major success. He bagged the Young Entrepreneur of the Year in 2014 for establishing Nutriband. And Nutriband was then awarded Ireland's Best New Product 2014. He has also bagged awards such South Dublin's Best Young Entrepreneur and South Dublin's Best Startup Company. CANDIDATE PALS In 2018, Sean Gallagher was appointed as president of Nutriband. The Cavan native ran an overall successful presidential campaign back in 2011. The Dragon's Den star was polling well above current president Michael D Higgins in the final polls. However, the campaign fell apart following a heated debate with Martin McGuinness on Pat Kenny's Frontline. Gallagher did run for president once again in 2018 but was unsuccessful. Sean has since stepped down from his most recent role as chairman and director of Nutriband. And it seems Gareth may be taking some inspiration from his colleague's presidential bid. He will follow in Sean's footsteps seeking nomination through local councils, which is is confident he will achieve. However, Gareth confirmed to RTE he has not asked for advice from Sean Gallagher. STEPPING DOWN Gareth confirmed he would be stepping back from his role as CEO of the company in a statement confirming his presidential bid. He has also moved back to Ireland and is situated in Dublin ahead of the 2025 elections. In a statement Gareth said: "I have made the decision to temporarily step aside as CEO following the support and encouragement I have received asking me to put my name forward for the election for President of Ireland. "Rest assured, Nutriband is in very safe hands. While most often we talk about AVERSA as our big opportunity, it is our tight knit team that is really our core asset. "I look forward to watching Nutriband continue to hit its planned targets between now and December." In his absence Co-Founder and Chairman, Serguei Melnik will take over. PERSONAL LIFE Away from a busy business career and budding political one, Gareth has a young family, who have moved back to Dublin with him. He married his wife Heidi Mae back in 2018, after a long-term relationship. Blonde beauty Heidi competed in Miss World for Ireland back in 2019. The couple share a daughter Roe together, who they introduced to the world in 2023. 5 He commended outgoing president Michael D Higgin's work Credit: MAXWELLS
