New report upgrades outlook for UK economy with growth now forecast at 1.1% rather than 0.7%

• While the IMF is upbeat about global growth it knows where dangers lurk

The UK economy will grow faster than previously thought this year, according to an upgraded outlook by the International Monetary Fund in a boost to the chancellor, Rachel Reeves, ahead of her first budget next week.

In a significant revision of the Washington-based organisation’s biannual economic review, UK growth in 2024 is expected to be 1.1%, up from a projection of 0.7% in July. The IMF’s forecast for 1.5% growth next year was unchanged.