Economic Outlook

The UK inflation rate dropped to 1.9% in January, marking the first time it has fallen below the Bank of England's target of 2% since November 2009.

Britain must see a business recovery before interest rates can begin to rise, according to Mark Carney, the Governor of the Bank of England.

Mutual's chief economist tells recent borrowers to prepare

The Bank of England (BoE) could lower the unemployment target it has said must be reached before it raises interest rates, according to some experts, as jobless figures fall faster than expected.

The UK must address a ‘structural failure' in business finance if it is to develop domestic equivalents to the likes of Google or Samsung, according to the British Chambers of Commerce (BCC).

Chancellor George Osborne has said he will cap the country's welfare budget each year for the next four years from April 2015 - but the state pension will not be included.

UK CPI inflation rose from 2.4% to 2.7% in May, according to the Office for National Statistics, a larger than expected rise driven by transport and clothing costs.

Quarterly growth of 0.9% projected

Households and businesses should be told that borrowing costs will remain at rock-bottom levels until the economy is motoring again, the International Monetary Fund has said.

Too much regulation - instead of instilling greater trust in the financial services industry - can have the opposite effect, according to Richard Sexton, reputation and policy director at PricewaterhouseCoopers (PwC).