UK Business confidence has crashed to a four-year low amid ‘a summer of domestic uncertainty’ due to a change of prime minister.

Accountancy group ICAEW said its business confidence monitor fell to minus-14.6 in the second quarter, the lowest since late 2022.

The index has now been in negative territory for six successive quarters – the joint-longest streak since the 2008 financial crisis.

ICAEW boss Alan Vallance said: ‘War in Iran has knocked confidence significantly and the economic consequences are proving hard to shake.

‘With a summer of domestic uncertainty on the horizon, the next prime minister must prioritise cultivating the conditions for companies to thrive and grow.’