Britain’s economy is falling further behind a fast-recovering eurozone as firms worry about Brexit and consumers feel the pinch of rising inflation and the weak pound, the latest surveys showed.

British inflation unexpectedly jumped to its highest level in nearly four years in May, tightening the squeeze on UK consumers, who face the added worry of political uncertainty after last week’s inconclusive election.

Next has lowered its sales forecast for the year, sending its shares plunging the most since the dot-com bubble burst in 2000, as slowing growth in consumers’ incomes threatens to hit spending at the UK clothing retailer.

British manufacturing output unexpectedly fell in January as computer and electronics production plunged.

More signs that eurozone woes and the strong pound are hurting British firms have emerged after official figures showed a faster downturn in exports.