According to fresh figures growth in the private sector has slowed to its weakest since May and demand for further job cuts.
Economists warned the S&P Global flash UK composite purchasing managers’ index (PMI) that “alarm bells should be ringing that the economy is faltering”.
The PMI shows a reading of 51.0 for September which is the weakest score since May.
Chris Williamson, chief business economist at S&P Global Market Intelligence, said, “September’s flash UK PMI survey brought a litany of worrying news including weakening growth, slumping overseas trade, worsening business confidence and further steep job losses.
“The only good news is perhaps that, just as the Bank of England grows increasingly worried about persistently elevated inflation, the PMI indicated that price pressures have moderated in September.
“With the weakening of business activity growth to a rate consistent with the economy almost stalling, and around 50,000 job losses being signalled by the PMI again in the three months to September, alarm bells should be ringing that the economy is faltering, which could help shift the policy debate at the Bank of England back towards a more dovish stance.”
