UK recession risk grows as higher interest rates weigh on firms
by Richard Partington Economics correspondent from Economics | The Guardian on (#6EZSD)
Service sector and manufacturing output falls, with cost of living crisis also hitting businesses
Britain's economy is at growing risk of recession, with industry figures showing the sharpest monthly fall in private sector activity, outside of the Covid pandemic, since the financial crisis.
In a sign that higher interest rates and the cost of living crisis are combining to depress consumer demand, the latest snapshot from S&P Global and the Chartered Institute of Procurement and Supply (Cips) showed a steep drop in the UK's dominant service sector and manufacturing output in September.
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