Workers are increasingly less confident about the security of their jobs, according to new research.

A survey by Lloyds TSB reveals that almost a third of employees think their job is less secure than it was a year ago, with only one in ten saying it is more secure.

The study also found that two-thirds of respondents believe employment prospects across the UK as a whole have worsened over the same period.

Trevor Williams, chief economist at Lloyds TSB Corporate Markets, said: "The survey results suggest that spending growth is likely to slow sharply in the months ahead.

"If people don't feel safe in their job and high prices are putting incomes under pressure then demand for discretionary purchases will naturally slow."

Consumers are bracing themselves for the worst, he added.

Recently, a KPMG report stated that 53 per cent of employers are considering cutting jobs in order to help them survive the economic downturn.

RELATED ARTICLES:

• Xmas parties recommended
• FPB: New rates law would damage SMEs
• Rate cut welcomed
• Lending to small firms 'not as risky as claimed'
• Queen's Speech 'offers no help for firms'