Services down, manufacturing up

Services down, manufacturing up. The fall in the pound is good for exports of manufactured goods (which is why devaluation is a powerful tool - a good reason to stay out of the Euro). However services make up 80% of the UK economy, so we really need to protect the services sector as a priority. Activity in that sector has fallen to an 11-month low - let's not allow it to fall further.

Services include hotels, restaurants, cinemas and so on. A falling pound will be helping them in some ways - we may attract more tourists, more Brits may take their holidays at home. However even those services make most of their income from UK customers, so with prices rising and income falling they are feeling the squeeze. Even if we take Graham's advice there is only so much we can reasonably do ourselves to funnel our own cash into them. Buy British, yes, but wash by hand?

Other services, such as banking, earn significant amounts overseas. The banking sector in particular is a big contributor to the UK's finances.

Cancel Brexit and we don't need to worry about such things, but if we go ahead then it is the duty of our government to make the best deal they can for us. That means minimising the economic damage. That is why the government is talking about transitional arrangements, why the banking sector talks about 'passporting' and why remaining in the the free trade area is vital.

If Brexit goes ahead then we will have to accept that the economy is going to take a hit, so that is why it is vital that we keep as much of our international trade going as possible.