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Evening Standard

Business

Anna Wise

Iran war hit to UK growth less than feared but inflation still to rise – IMF

International Monetary Fund Iran United Kingdom Inflation the International Monetary Fund Rachel Reeves Economy United States

Growth in the UK economy will be stronger this year than previously thought, according to IMF forecasts (Jordan Pettit/PA) - (PA Archive)

Growth in the UK economy will be stronger this year than previously thought but the Iran war continues to dampen the outlook, with the cost of living set to rise and borrowing costs kept on hold, according to new forecasts.

The International Monetary Fund (IMF) updated its growth projections a month after warning of a sharp slowdown caused by the global energy shock.

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