Australia's private-sector growth slowed in September as weaker new business weighed on services activity, prompting a resumption of job cuts while inflationary pressures intensified, according to a monthly survey by S&P Global released Monday.

The S&P Global Australia Services PMI Business Activity Index fell to 51.9 in September from 53.2 in August, signaling a slower expansion in business activity but remaining above the 50 no-change mark for the fourth consecutive month.

Business activity growth slowed in September as the pace of new business expansion eased to its weakest level in three months despite steady demand enquiries, per the survey.

Australian services firms cut staffing for the first time since May as softer new-order growth and cost pressures weighed on hiring, while backlogs of work rose for a third straight month in September.

Services sector saw input costs and output prices accelerate in September, with higher fuel, labor and other expenses prompting companies to pass rising costs on to customers.

Service providers remained optimistic about activity over the next 12 months in September, though confidence eased to a three-month low amid growing concerns over the economic outlook and sales.

The Composite Output Index fell to 51.3 in September from 52.7 in August, signaling a fourth consecutive month of expansion in Australia's private-sector business activity, although growth eased to its slowest pace in three months.

Private-sector activity remained subdued as growth was confined to services, while a deeper manufacturing contraction and renewed decline in goods orders weighed on overall business conditions.

Australian businesses resumed cutting jobs in September as confidence slipped to a three-month low, while intensifying services cost pressures kept inflation elevated despite a slowdown in manufacturing price growth, the survey added.