Growth projections rise significantly

The Chancellor George Osborne unveiled the encouraging figures during his Autumn Statement.

The OBR provides economic projections independent of Government influence.

George Osborne said: "Growth over the forecast period is significantly up. It is still not as strong as we’d like it to be, but this is the largest improvement to current year economic forecasts at any Budget or Autumn Statement for 14 years. I can report that Britain is currently growing faster than any other major advanced economy.”

Commenting on the Autumn Statement, Terry Scuoler, Chief Executive of EEF, the manufacturers’ organisation, said: "The Chancellor was right to stress the risks to recovery but did too little to support the investment that would secure it.

"While the Autumn Statement contained some useful measures on apprenticeships, skills and business rates, it failed to send a clear signal to industry that now is the right time to invest and create new jobs.

"In particular, it failed to address the growing threat to investment from energy prices that are squeezing margins and racing ahead of our competitors.”