Real estate leading the UK service sectors keeping their head above water during pandemic decline

Estate Agency during covid19

The latest index of services from the Office for National Statistics makes for stark reading, with nine of the UK’s 15 service sectors recording the weakest month for growth on record in March and a further five seeing a decline in growth.

However, research by Sourced Capital has found that while the service sector has been hit hard by COVID-19 and the ensuing lockdown, some sectors are still keeping their head above water.

Sourced Capital looked at the average monthly growth since COVID-19 started to take hold in December and found on average, the service sector has seen a decline -1.48% on average each month. Sourced Capital also looked at the total point to point change from November prior to the outbreak and now (March 2020) and found there has been a -5.8% decline overall.

However, there are three UK service sectors that have managed to weather the storm and record positive average monthly growth, two of which have also seen positive total growth.

While there has been much talk of a property market decline, the Real Estate Activities sector has seen an average monthly growth rate of 0.15%. When comparing total growth in November to the latest month of March, there has however been a marginal total decline of -0.1%.

Other sectors to weather the storm so far include Financial and Insurance Activities and Public Administration and Defence; Compulsory Social Security, with average monthly increases of 0.03% and a total point to point increase of 0.5% and 0.1% respectively.

However, not every service sector has fared as well. Sourced Capital’s research shows that the Accommodation and Food Service Activities sector has seen the largest average monthly decline of all sectors; down -7.58% per month. The sector has also seen the largest point to point decline with a total drop of -32.1%.

Other sectors to have been hit the hardest include Other Service Activities, Transport and Storage, Education and Arts Entertainment and Recreation.

Services sector industries ranked by highest to lowest average monthly growth during the COVID-19 crisis
Sector
Average monthly change (%)
Point to point total change (%)
Real estate activities
0.15
-0.1
Public administration and defence; compulsory social security
0.03
0.1
Financial and insurance activities
0.03
0.5
Professional, scientific and technical activities
-0.10
-0.6
Information and communication
-0.70
-0.5
Human health and social work activities
-0.80
-3.2
Activities of households as employers
-0.95
-2.7
Wholesale and retail trade; repair of motor vehicles and motorcycles
-2.30
-8.3
Administrative and support services activities
-2.63
-10.8
Arts, entertainment and recreation
-3.13
-15
Education
-3.43
-14.9
Transportation and storage
-3.48
-12.1
Other service activities
-4.20
-18.1
Accommodation and food service activities
-7.58
-32.1
Services overall
-1.48
-5.8
Average monthly change relates to the period of December 2019 to March 2020 to show impact of COVID-19 on each service sector
Point to point change relates to the total change between November 2019 prior to the virus and March 2020 to show impact before and currently.

Properganda PR

National and local media coverage for property businesses. Journo quotes delivered in minutes.

You May Also Enjoy

Breaking News

New anti-money laundering rules now in effect: what landlords need to know

New anti-money laundering (AML) rules came into effect this month, marking a significant change for landlords and the lettings industry as a whole. The new rules mean financial sanctions checks are now required for all lettings, regardless of how much rent is charged. Here, Steve Bond, managing director of residential lettings for Beresfords, explains what…
Read More
Breaking News

Breaking Property News 4/06/25

Daily bite-sized proptech and property news in partnership with Proptech-X.   Stanmore Contractors announces new Stanmore Design House division Stanmore Contractors, the UK’s leading specialist contractor, has today announced the launch of Stanmore Design House, a new division that will provide RIBA Stage 4 and onwards technical design services to its clients – alongside integrated…
Read More
Breaking News

£200 increase in void period penalties for landlords

The latest analysis by Dwelly, one of the UK’s leading lettings acquisition and success planning experts, has found that landlords have been hit with a 26% increase in the cost of void periods in the past year, equivalent to lost income of almost £200. Dwelly analysed average void period data from March 2024 and March…
Read More
Breaking News

37% of homebuyers see purchases delayed

The latest research by GetAgent Exchange, a new platform enabling agents to monetise out-of-area applicant leads, has found that whilst the majority of homebuyers also have a property to sell themselves, 41% don’t consider selling their current property until having started the viewing process for their new home, at the very least. The survey of…
Read More
Seaside Properties UK
Breaking News

Isle of Wight best sun-seeking hotspot for homebuyers

Isle of Wight ranks as most affordable sun-seeking hotspot for homebuyers The latest research from over-50s property specialists, Regency Living, reveals that in the UK’s sunniest county, homebuyers are paying an average of £835 for every minute of daily sunshine. For some homebuyers, living in a place that offers warm weather and sunshine is a…
Read More
Coastal and sea front property
Breaking News

Coast to city cuts property values by £4,300 per minute

Commuting from coast to city can save homebuyers as much as £4,300 per minute New research from Yopa, the full-service estate agents, has revealed where the nation’s homebuyers can secure a coastal lifestyle whilst also remaining within commutable distance of a major city, saving themselves hundreds of thousands of pounds in the process. Yopa analysed…
Read More