Truss faces threat of recession as consumers and companies clamour for answers on energy costs

(Joe Giddens/PA)

(Picture: PA Wire)

On the day Liz Truss was confirmed as the UK’s new prime minister, the scale of the problems she faces once formally appointed by the Queen were laid bare with another clear sign that a full economic recession may be on the way.

Economic numbers out from the private sector showed how the cost-of-living crisis and its squeeze on household budgets is starting to hurt businesses. They showed the first contraction in private sector business activity for 18 months according to the S&P 500 Global/Cips UK purchasing managers’ index, which tracks the expected spending of companies.