Bank of England lowers forecasts for UK

Latest inflation report finds GDP and wage growth lower than expected, but also records fall in unemployment

The Bank of England has cut its forecasts for GDP and wage growth, but insisted Britain's economic recovery remained "solid".

In its quarterly inflation report, the Bank's monetary policy committee (MPC) predicted growth of 2.5% in 2015, down from the 2.9% it was expecting in February, after GDP was weaker than expected in the first quarter. The MPC also cut its forecast for next year from 2.9% to 2.6%, and for 2017 from 2.7% to 2.4%.