Recession not off the table as business activity falls

Concerns have been raised over the possibility of a mild recession after the private sector contracted for a third consecutive month. S&P Global and CIPS’s latest flash purchasing managers’ index, which measures activity in the services and manufacturing sectors, inched up to 48.6 in October from 48.5 in the previous month. Any PMI rating below 50 represents a contraction. Chris Williamson, chief business economist at S&P Global, said the UK economy continues to “skirt with recession” this month, with declining output driven by the rising cost of living, higher interest rates and falling exports. Williamson said: “A recession, albeit only mild at present, cannot be ruled out.” The Times (£)ReutersDaily Mail