IMF warns UK faces two years of pain - papers 7 Aug

Yet despite predicting that the UK economy will suffer its weakest two years since the last recession, the IMF cautioned that soaring inflation leaves the Bank of England “little scope” to cut interest rates to shore-up growth. The fund also used its annual economic health check on Britain to warn Mr Darling not to gamble with the nation's finances by using an expected autumn overhaul of the Treasury's fiscal rules to try to borrow his way out of economic trouble. It said that the Treasury was already set next year to breach the rule capping national debt at 40% of GDP as it slides de...