Related topic: uk economy

Lower inflation and interest rate cuts will help unlock money so it can be spent in the economy, Martins said.

Inflation has fallen from 3.4% in December to 3% in January.

Economists are now predicting further Bank Rate reductions 'sooner rather than later'.

Industry experts now say a February Bank Rate cut is now almost entirely off the table.

While the UK has avoided a technical recession, industry experts note that more muted quarterly growth is 'meagre at best'.

The move means Bank Rate is at its lowest level in almost three years.

With unemployment figures rising and inflation easing, industry experts say a rate cut tomorrow 'now looks like a cert'.

The figures add weight to the expectation that the Bank of England will cut interest rates next week.

Only two in every five of the lenders polled were confident their servicing teams were ready to deal with the results of an increasingly volatile economic environment.

Inflation is beginning to reduce after remaining at 3.8% for the past three months.