EU services sector 'set to contract'

The mood among Irish and EU service providers has deteriorated, resulting from the impact of the wider financial market turmoil and as signs of a worldwide downturn have grown, according to a report released today.

The key development from the latest KPMG European Business Outlook Survey, which surveys around 2,800 service sector firms across Ireland, Germany, France, Italy, Spain and the UK, is that the 12-month outlook for business activity has turned negative.