Conflict is pushing up price of energy and food, fuelling higher borrowing costs and hitting growth, report says

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UK suffers sharpest downgrade and is predicted to face joint highest inflation in G7 as growth forecasts are cut

High oil, gas and food prices could force growth to slow if the US-Israel conflict with Iran continues, the IMF says.

The report notes that the worst-case "severe scenario," which assumes an extended conflict and high oil prices, would lead the world into another recession.

Middle East, emerging economies and UK particularly hit, as growth projected to fall and inflation to rise

Higher global inflation forecast at 4.4 percent, up 0.6 points, driven by surging oil, gas and fertiliser costs.

UK growth slashed as worldwide economy could be thrown ‘off course’, with the risk of an energy crisis ‘on an unprecedented scale’

Conflict is pushing up price of energy and food, fuelling higher borrowing costs and hitting growth, report says