The International Monetary Fund (IMF) raised its forecast for UK growth this year from 1.9% to 2.4%.

However, this expected to fall back to 2.2% in 2015 with the organisation saying that ‘economic slack’ will remain high.

It said: ‘Activity in the Uk has been buoyed by easier credit conditions and increased confidence.’

The announcement prompted prime minister David Cameron to tweet: ‘An encouraging sign of more jobs and security for hardworking people: the IMF confirms upgrading our growth forecast.’

The IMF also upgraded its outlook for the US, which it expects to achieve 2.8% growth, as well as both the Eurozone, which it said was ‘turning the corner from recession to recovery’ and China. However it warned some emerging markets remain in difficulties.