The surprise 0.3% drop came as factories and consumer-facing businesses struggled, according to official figures.
Analysts thought the economy would stall in August but not shrink as costs mount for businesses and households.
Prices are rising at their fastest rate for 40 years,s
Analysts thought the economy would stall in August but not shrink as costs mount for businesses and households.
Prices are rising at their fastest rate for 40 years,s
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