Economics

Policymakers risk the UK economic recovery stalling if they fail to address its "undue reliance" on consumer spending, the British Chambers of Commerce has said.

Hargreaves Lansdown's shares rose on news the government is set to increase the personal ISA allowance to £15,000, whilst life company stocks tumbled, after chancellor George Osborne unveiled the latest Budget.

Bank of England governor Mark Carney has said rates could be as high as 3% over the medium term to 2017, endorsing comments made by colleague Charles Bean earlier this week.

Monetary Policy Committee members predict any rise in the Bank base rate, currently at 0.5%, which occurs over the next two to three years will be gradual.

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

UK GDP rose by 0.7% in Q4, according to an initial estimate from the Office for National Statistics, with growth for the year as a whole rising at its fastest rate since 2007.

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.