European services production sees modest recovery in December

Seasonally adjusted services production increased by 0.2 per cent in the euro area and by 0.3 per cent in the EU in December 2025, compared with November 2025, according to Eurostat.

This marginal growth follows a period of contraction, as services production fell by 0.6 per cent in both the euro area and the EU in November 2025.

When looking at the annual trajectory, services production in December 2025 increased by 0.7 per cent in the euro area and by 0.8 per cent in the EU compared with December 2024.

The broader picture for the year shows that the annual average services production for 2025 increased by 2.1 per cent in both the euro area and the EU compared with 2024.

Within the euro area for December 2025, transportation and storage services saw an increase of 1.2 per cent compared with November 2025.

Accommodation and food services also trended upwards in the euro area with a 0.3 per cent rise during the same period.

However, information and communication decreased by 1.0 per cent, while real estate activities saw a reduction of 0.5 per cent in the euro area.

Professional, scientific, and technical activities grew by 0.7 per cent, and administrative and support services increased by 0.5 per cent in the euro area for the final month of the year.

Across the wider EU in December 2025, transportation and storage production rose by 1.0 per cent compared with the previous month.

Accommodation and food services in the EU mirrored the euro area with a 0.3 per cent increase.

Information and communication in the EU experienced a smaller decrease of 0.4 per cent, while real estate activities actually increased by 0.9 per cent.

Professional, scientific, and technical activities grew by 0.4 per cent in the EU, a figure matched by the 0.4 per cent rise in administrative and support services.

Amongst the member states with available data, the highest monthly increases were recorded in Luxembourg at 12.5 per cent, Poland at 5.7 per cent, and Lithuania at 2.6 per cent.

Conversely, the largest monthly decreases were observed in Bulgaria at 3.5 per cent, Portugal at 2.6 per cent, and Germany at 1.0 per cent.

On an annual basis, comparing December 2025 with December 2024, the euro area saw a decrease in transportation and storage of 0.1 per cent.

Growth was found elsewhere in the euro area, including a 0.5 per cent increase in accommodation and food services and a 1.8 per cent rise in information and communication.

Real estate activities in the euro area grew by 0.5 per cent, professional, scientific, and technical activities climbed by 2.5 per cent, and administrative and support services edged up by 0.2 per cent.

In the EU, the annual comparison showed transportation and storage decreased by 1.1 per cent compared with December 24, 2024.

Accommodation and food services in the EU rose by 0.7 per cent, while information and communication saw a more significant jump of 2.7 per cent.

Real estate activities in the EU increased by 0.2 per cent, professional, scientific, and technical activities rose by 2.6 per cent, and administrative and support services grew by 0.3 per cent.

Regarding the performance of specific member states over the year, the highest annual increases were recorded in Lithuania at 10.2 per cent, Poland at 10.0 per cent, and Romania at 7.8 per cent.

The most substantial annual decreases were observed in Denmark at 16.6 per cent, Luxembourg at 4.9 per cent, and Estonia at 3.2 per cent.