The economy is on the brink of recession with the first slowdown for 16 years capping a week of falling exchange rates and panic following the use of the dreaded R word by the prime minister and the governor of the Bank of England.
For the channel the latest Office of National Statistics (ONS) figures will make grim reading coming on the back of a wave of other statistics that indicate that investment is dropping and vendors are tightening marketing budgets.
According to the ONS the economy shrank with output growing by 0.5% for the third quarter and an official recession will be announced if it drops again in the fourth quarter.
The drop is the biggest fall since 1990 and although expected still seems to have taken some by surprise.
This week has seen a slew of results from vendors with indications starting to appear that cost cutting is going to be a priority. Microsoft has become the latest to launch a cost cutting campaign today but this follows on from reports from Sony that it will have to tighten its belt and also from Citrix that revealed it put down its performance in Q3 partly down to its tight control on costs.