The contraction across Scotland's private sector firms deepened during October, according to the latest Royal Bank of Scotland PMI data.
Adjusted for seasonality, the Business Activity Index posted below the neutral 50.0 threshold for the third month running, at 45.8, indicating a sharp decrease overall. Inflows of new business also went into further decline, the latest downturn being the most severe in 20 months.
To further add weakness across the sector, inflationary pressures reaccelerated from September's recent low, as service providers reported quicker upturns in input costs and charges during October. The gloomy performance resulted to the softest intake of workers in 18 months, with goods producers reporting their first reduction in employment since January 2021.
