Economic growth across the UK this year is expected to be faster than previously thought, the International Monetary Fund (IMF) said on Tuesday.
A revised forecast from the IMF showed the UK economy was expected to grow by 1.1% in 2024, above the 0.7% previously anticipated in July.
This would place the UK third among G7 nations in terms of growth over the year, behind the US and Canada and in line with France.
UK growth would also outpace that seen in Japan, Italy and Germany, which was seen stagnating over the year, and compare to an anticipated 3.2% uptick globally in 2024.
UK economic growth was set to come in at 1.5% over the course of 2025, the IMF added, with the forecast for the year ahead left unchanged.
IMF chief economist Pierre-Olivier Gourinchas noted growth across Europe was on an improving path.
Economies globally had been “unusually resilient throughout the disinflationary process” over the last two years, he added.
“Monetary policy played a decisive role by keeping inflation expectations anchored [and] the decline in inflation without a global recession is a major achievement.”
Chancellor Rachel Reeves welcomed the improved forecast, but added there was “more work to do”.
“That is why the Budget next week will be about fixing the foundations,” she said.