The latest economic survey by the Bradford Chamber of Commerce has reinforced fears about the district's business prospects in coming months.

Riots in Manningham and uncertainty over the future of America's economy, even before September's terrorist attacks, has left Bradford's business community struggling to maintain any kind of growth.

Perhaps most worrying is that in addition to the sustained, and expected, slump in manufacturing, the traditionally stronger service sector has also reported falling demand at home and abroad during the third quarter.

John Pennington, president of the Chamber, said: "Unfortunately, this confirms many of our fears. We know only too well that businesses are having a tough time of it and have been doing so for some time.

"We will be forwarding the results to those making policy, such as Government Office, the Regional Development Agency, and the Monetary Policy Committee, as well as to the local authority. Bradford businesses need help and they need it now."

During the second quarter of the year, 35 per cent of manufacturing and 37 per cent of non-manufacturing firms said they were operating at full capacity.

These figures fell to 30 per cent and 29 per cent respectively for the third quarter.

The Chamber's report found firms across the board had cut back on investment as confidence and expectations fell. But while employment in manufacturing continued to suffer, levels in the service sector remained "surprisingly upbeat".

Tony Sibbles, joint managing director of Bradford freight forwarders E L Sibbles Ltd, said: "The events of September 11 in America had obvious effects on air transport but business is returning now after the initial knee jerk reaction.