UK business malaise deepened before election: PMI

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British businesses endured their worst downturn since mid-2016 in the run-up to ...

LONDON - British businesses endured their worst downturn since mid-2016 in the run-up to Prime Minister Boris Johnson’s landslide victory in a national election last week, a survey showed on Monday.

The readings suggested the world’s fifth-biggest economy is on course to contract in the fourth quarter, survey compiler IHS Markit said, although the PMIs have overstated weakness in previous quarters, partly because of higher government spending before Brexit. “Any positive aspects of the survey came largely from the sentiment indicators, with future expectations rising to the highest since June as firms hope that the election will bring clarity on the outlook and remove some of the uncertainty that has been holding back demand,” said IHS Markit chief business economist Chris Williamson.

 

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The election did not help ... lack of clarity with changing environment, unclear contracts with EU and the ROW will bring more uncertainty for many years to come

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