IMF cuts UK growth on Brexit clouds

Britain has suffered the biggest downgrade of economic growth projections by the IMF for the world’s rich nations this year, prompting the finance ministry to renew its call for a smooth exit from the EU.

Britain’s economy now looks set to grow by 1.7% this year, down from a forecast made in April of 2% but still higher than growth in France, Italy and Japan, the IMF said. The IMF said its downgrade reflected Britain’s weaker-than-expected growth in the early part of this year.

“The ultimate impact of Brexit on the UK remains unclear,” IMF chief economist Maurice Obstfeld said.