The Confederation of British Industry said rising costs are set to dampen the government’s growth ambitions

GDP forecast falls from 1.6pc to 1.2pc after National Insurance changes hammer businesses

It marks the latest downbeat verdict on Ms Reeves's performance as Chancellor - and undermines Keir Starmer's claim that Labour has 'fixed the foundations of the economy'.

The Confederation of British Industry said rising costs are set to dampen the government’s growth ambitions