Britain's economy was the worst in November since July
2016 on the back of uncertainty surrounding the Brexit process and early
elections in the country next month, a report showed on Saturday.
According to Bloomberg, the figures give a quick
prediction and come a week before the full results are due. They are based on
85 percent of participants. Following the report, the pound fell 0.3 percent
to $ 1.7782 by 09:32 am London time.
Britain narrowly escaped a recession in the third
quarter as factories stockpiled large quantities of inputs in anticipation of
the country's exit date from the European Union, which was slated for October
31, before it was extended for three months. However, these were less than the
stock before the original date of exit, March 31 this year.
Following the new extension of Brexit, companies are
reluctant to make new investments and look for a clearer picture of the future
relationship between the UK and the EU. The picture will only become clear
after early general elections in Britain on 12 June.
Chris Williamson, chief economist at i. H.S Market, revealed
that the weak data revealed by the index puts the British economy on track to
record a 0.2 percent drop in GDP in the fourth quarter.
"A decision has to be made," Zdenek Turek,
chief executive of Citibank Europe, said in an interview in Dublin, the capital
of the Republic of Ireland. "The exit from the EU has not yet taken
place."
Turek said that the group, based in New York City, may
move more staff from London to face the repercussions of Brexit depending on
whether customers will increasingly move outside Britain.