According to PMI survey data, business activity expanded at the slowest rate since April 2013, and growth was weaker than all other UK regions surveyed except Scotland and the North East, which both saw contractions.

The South West also registered a smaller rise in new business, and a further decline in backlogs.

However, employment growth has remained relatively solid in the region compared with others.

The seasonally adjusted Lloyds Bank Commercial Banking South West Business Activity Index fell to a 35-month low of 51.2 in March, from 52.6 in February. …

… The underlying weakness of business conditions in the private sector was emphasised by data on new business inflows, which increased only fractionally in March. In line with the trend for activity, the South West registered the slowest growth among the ten regions to record expansion.”