UK economy to shrink by 0.3% – the worst of any G7 country, as IMF warns of more turmoil

Economists blame Brexit, Liz Truss’s economic missteps, and a lack of investment in infrastructure for UK lagging behind

The economic forecast is better – but still the worst in the G7 (PA)

Britain is on course for the worst economic performance of any country in the G7, the International Monetary Fund (IMF) has predicted, as it warned of more turmoil in a “fragile” global financial system.

The UK’s output is expected to contract by 0.3 per cent this year before rebounding to grow by 1 per cent next year, IMF economists said.

The prediction puts Britain firmly at the bottom of the G7 group of economically advanced nations. It is the only country except Germany that is forecast to see a decline, while many non-G7 countries, including emerging and developing nations, are “already powering ahead”.