BRITAIN is “dangerously close to recession,” the TUC warned today as news that the economy shrank in October dealt a blow to one of the Prime Minister’s five priorities.

Gross domestic product (GDP) is estimated to have fallen by 0.3 per cent during the month, down from a 0.2 per cent growth in September, the Office for National Statistics (ONS) said.

It came as all three of the main sectors that the ONS tracks fell into negative territory for the first time since July.