LONDON, Oct 5 (Reuters) – British businesses last month suffered the sharpest contraction in activity since early last year, although the downturn was a little less severe than first estimated, a survey showed on Wednesday.
The final version of the S&P Global UK Composite Purchasing Managers’ Index fell to 49.1 in September from 49.6 in August, the lowest reading since January 2021 when much of the country was still in a COVID-19 lockdown.
Any reading below 50 means a contraction in activity.
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While the reading was an improvement on a preliminary “flash” reading of 48.4, services companies that comprise the bulk of the private-sector economy were the least positive about the outlook since May 2020, early in the pandemic.
Overall the survey chimed with other indicators that suggest Britain’s economy is flirting with recession.
“Service sector businesses trimmed their growth…
