The Week: City news - Classified adspend slows

British businesses have held back on their spending on classified advertising in printed directories, the owner of Yellow Pages has warned, adding to concerns over an economic slowdown.

Shares in Yell dropped 15 per cent, putting a £390 million hole in its stock market valuation. The UK's largest printed directories business reduced expectations for domestic revenue growth to 2 per cent for the year to March, down from a forecast of 3 per cent just under three months ago.