One in three UK firms struggling with operating costs - ONS

FILE PHOTO: Shoppers are seen walking past social distancing signs following the outbreak of the coronavirus (COVID-19) disease, in London, Britain July 1, 2020. REUTERS/Toby Melville/File Photo

LONDON (Reuters) - Almost one in three businesses in the United Kingdom has operating costs that are greater or equal to their turnover, Britain’s statistics office said on Thursday in an update on the impact of the coronavirus pandemic on the economy.

Companies in the arts, entertainment and recreation sector reported the largest percentage of businesses with operating costs exceeding turnover at 42%, followed by the accommodation and food service activities sector at 29%.

Manufacturing and real estate reported the largest percentage of businesses indicating that turnover exceeded operating costs, at 54% and 53% respectively, the Office for National Statistics said.

Writing by William Schomberg; Editing by Gareth Jones