UK growth forecast upgraded amid warning over inflation

Leading economic thinktank the NIESR expects 1.7% growth this year but says Brexit will hit trade in the long term

The surprising resilience of consumer spending in the months since the Brexit vote has forced one of the UK’s leading economic thinktanks to revise up its growth forecasts for the second time since the referendum.

In its quarterly health check of the economy, the National Institute for Economic and Social Research (NIESR) said it now expected growth of 1.7% this year – only slightly down on the 2% recorded in 2016.

Related: UK GDP figures show solid end to 2016 despite Brexit vote

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