George Osborne

The future of the UK economy may not be as bright as some have predicted, with the weakest recovery in 'industrial history' limiting annual growth to 1% in the longer term, according to a thinktank.

The economy is "turning a corner", Chancellor George Osborne is expected to say in an upbeat speech later today.

Chancellor George Osborne has urged cabinet colleagues "not to get ahead of themselves" about the UK's economic recovery.

Measures to increase confidence in the UK housing market could herald a new house price bubble, economists have warned.

Business Secretary Vince Cable has warned the government's 81% stake in Royal Bank of Scotland may not be sold off for another five years, arguing a quick sale of shares is unlikely.

The Chancellor will not sell any of the government's stake in Lloyds Banking Group until September, dashing recent hopes in the City of a sell-off as early as this week, according to reports.

UK GDP rose by 0.6% in the second quarter, according to initial estimates - in line with analysts' expectations and double the 0.3% figure seen in Q1.

The International Monetary Fund (IMF) has renewed its calls on the UK government to do more to boost the economy, but chancellor George Osborne has received support for his austerity programme from member countries.

ALTERNATIVES

The Chancellor George Osborne is to back proposals for harsher punishments for bankers who act recklessly and lead to the collapse of financial institutions.