IMF raises UK growth forecast as economist says Healey should ‘stay the course’
Fund upgrades UK’s GDP growth forecast for 2026 to 1.3%, but says it is likely to edge down next year IMF warns global economy ‘could soon test the limits of resilience’ John Healey should “stay the course” and continue repairing the UK’s public finances, the International Monetary Fund’s top economist has said, after the fund lifted its growth forecast for Britain. Little more than a fortnight…
The International Monetary Fund has increased its forecast for the UK's GDP growth in 2026 to 1.3%, while predicting a slight dip next year. IMF economist Silvana Tenreyro urged Chancellor of the Exchequer John Healey to "stay the course" and continue repairing the UK's public finances. Tenreyro highlighted that the UK stood out among G7 countries for having a plan to reduce its deficit.
The IMF advises governments to provide temporary, targeted, and non-distortionary support instead of across-the-board subsidies. In contrast to the IMF's optimism, Healey is facing pressure to introduce a generous energy support package in the budget before the anticipated rise in energy bills in January.
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