The UK economy is widely expected to see its recent growth come to a halt, according to economists ahead of today's release of July's gross domestic product (GDP) figures by the Office for National Statistics (ONS).
Last year, the UK's economy expanded by 0.3 per cent, driven by a boost to hospitality and leisure firms. However, analysts suggest that rising energy prices and uncertain consumer confidence have jeopardised this growth.
Economists at Deutsche Bank anticipate a slowdown from the current pace of growth, noting that the full impact of the "real income shock from the Middle East has yet to fully filter through the data."
The prospect of slowing growth could increase expectations that the Bank of England's Monetary Policy Committee (MPC) might raise interest rates, potentially as early as its meeting next week. Three rate setters have already advocated for a pre-emptive strike, a position strengthened by Brent crude oil prices surpassing $100 a barrel.
Brent crude, the international benchmark, saw a seven per cent increase on Thursday, reaching just under $109 per barrel, its highest level since May.