UK economy to grow faster than thought in pre-Budget boost for Reeves

The Bank of England is likely to carry on reducing borrowing costs, which will help mortgage holders and other borrowers - (PA)

The UK economy will grow faster than previously thought as lower inflation and borrowing costs lead to a boost in business activity, a boost for chancellor Rachel Reeves as she aims to fix the nation’s finances.

The update from the International Monetary Fund also suggested that the fight against inflation and the cost of living crisis had “largely been won”.