A recent survey by trade finance provider Stenn reveals that nearly half of British businesses anticipate the UK economy to slip into a recession this year. Nearly one third of businesses expect the economy to contract by as much as 4% in 2020.

The outlook remains almost just as bleak for the global economy, with 37% of companies surveyed expecting either a recession or some kind of financial crisis worldwide this year. Almost two out of three firms highlighted geopolitical tensions, trade tensions, Brexit and regional instability as leading risks to business in 2020.

The second most pertinent business risks include rising environmental concerns and climate change, followed closely by changes in consumer behavior like an increased preference for online shopping. Brexit concerns have abated among businesses after BoJo’s victory in the recent elections and his success in getting the Brexit Bill ratified.

However, businesses remain concerned that the prolonged uncertainty surrounding Britain’s exit from the EU could continue to impact business investment and drive a contraction in the economy this year. Recently released official data showed a surprising contraction in the economy by 0.3% during November 2019.