The OBR said its UK growth forecast for last year had been 'too optimistic', with its prediction of 2 per cent being replaced with an initial estimate of just 1.4 per cent.

It will mean people save less for their pension. HMRC estimates that 2.9 million people will reduce their contributions after the raid.

The OBR said its UK growth forecast for last year had been 'too optimistic', with its prediction of 2 per cent being replaced with an initial estimate of just 1.4 per cent.