British businesses have warned that economic growth is slowing and unemployment could rise as global uncertainty continues to weigh on the UK economy.

A new business survey suggests employers are becoming increasingly cautious about hiring and investment decisions amid higher energy costs, inflation concerns and ongoing international tensions.

Industry leaders have warned that businesses are facing growing pressure from rising operating expenses and weaker consumer demand. As a result, some firms are delaying recruitment plans and reducing expansion projects.

Economic analysts believe the labour market could weaken further over the coming months if current pressures persist. Rising living costs and business uncertainty are expected to remain key challenges for both employers and households.

Despite concerns, business groups have called for targeted government measures to support economic growth, investment and job creation. Policymakers are expected to closely monitor employment trends and inflation data in the weeks ahead.

The latest findings highlight the fragile state of the UK economy as businesses navigate a challenging global environment while attempting to maintain growth and protect jobs.