Days after raising its growth forecast for Britain, the IMF said recovery in the UK has remained slow, with expectations for continued slow growth for the foreseeable future.
The IMF questioned parts of chancellor George Osborne’s approach, and said more should be done to improve the skills base and bring forward infrastructure spending.
However, Osborne was boosted by support from member countries of the IMF for his austerity push.
“Most directors underscored the importance of keeping fiscal consolidation on track to preserve credibility,” the IMF said in an extension to its original report released in May.
The government’s cuts have been the most severe among the world’s larger economies, according to the Fund, even though Osborne has pushed back some of his targets for tackling some of the fiscal problems.
