The UK is forecast to be the second-fastest growing of the world's most advanced economies this year, according to new projections from the International Monetary Fund (IMF).
The rates of growth remain modest at 1.3% for this year and next, but that outperforms the other G7 economies apart from the US in 2025, in a torrid year of trade and geopolitical tensions.
However, UK inflation is set to rise to the highest in the G7 in 2025 and 2026, the IMF predicts, driven by larger energy and utility bills.
UK inflation is forecast to average 3.4% this year and 2.5% in 2026 but the IMF says this will be "temporary", and fall to 2% by the end of next year.
The G7 are seven advanced economies - the US, UK, France, Germany, Italy, Canada and Japan - but the group doesn't include fast-growing economies such as China and India.










