Business Services Costs rise in Gloucestershire

The costs for business services rose in Gloucestershire over the summer.

The costs for business services rose in Gloucestershire over the summer.
According to the Office for National Statistics (ONS) the whole economy Index of Labour Costs per Hour (ILCH), seasonally adjusted, increased by 1.4% in Quarter 2 (Apr to June) of 2017, compared with Quarter 2 2016 and recorded 0.9% growth compared with the previous quarter, Quarter 1 (Jan to Mar) 2017.

Wage costs per hour worked increased by 1.2% in Quarter 2 2017 compared with Quarter 2 2016 and non-wage costs per hour worked increased by 3.9%.

Labour costs per hour in the private sector increased 1.3% in Quarter 2 2017 compared with the second quarter of 2016, while public sector labour costs per hour increased by 2%.

The financial and insurance activities industry saw the largest increase in Quarter 2 2017 compared with Quarter 2 2016, of 8.8%.

The arts, entertainment and recreation industry had the largest decrease in Quarter 2 2017 compared with Quarter 2 2016, of 3.8%.

All of which means that organisations in Gloucestershire will have to pay more for their business services administration- bookkeeping, accounting, payroll and pension administration.

Estimates from the ONS’s Labour Force Survey show that, between February to April 2017 and May to July 2017, the number of people in work increased, the number of unemployed people fell, and the number of people aged from 16 to 64 not working and not seeking or available to work (economically inactive) also fell.

There were 32.14 million people in work, 181,000 more than for February to April 2017 and 379,000 more than for a year earlier.

The employment rate (the proportion of people aged from 16 to 64 who were in work) was 75.3%, the highest since comparable records began in 1971.

There were 1.46 million unemployed people (people not in work but seeking and available to work), 75,000 fewer than for February to April 2017 and 175,000 fewer than for a year earlier.

The unemployment rate (the proportion of those in work plus those unemployed, that were unemployed) was 4.3%, down from 4.9% for a year earlier and the lowest since 1975.

Latest estimates show that average weekly earnings for employees in Great Britain in nominal terms (that is, not adjusted for price inflation) increased by 2.1%, both including and excluding bonuses, compared with a year earlier.

Latest estimates show that average weekly earnings for employees in Great Britain in real terms (that is, adjusted for price inflation) fell by 0.4%, both including and excluding bonuses, compared with a year earlier.

All of which means that the growing burden of payrolls, pensions payments and administrative burden on businesses here in Cheltenham, Gloucestershire and the South West has never been greater.

So if you would like some help with your payroll calculations for your organisation from someone with several decades of financial experience here in Gloucestershire you can either ring us now on  – email us on edith@esbaccountancy.co.uk or click the Contact Us buttonpayroll bookkeeping services small business help contact esb accountancy gloucestershire cheltenhamor please fill the form at the bottom of the contact us page.

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