Savage housing market downturns have dragged the US, UK, Ireland and Spain to the brink of recession. Data released this week will highlight how weakness across property sectors is continuing to erode consumer confidence and undermine business activity.

Andrew Cates, economist at UBS warns: “A more challenging phase of the global slowdown lies ahead.” Mr Cates is concerned that with the outlook for profits deteriorating, corporate spending is likely to slow, putting employment and investment spending at risk.