The International Monetary Fund has warned chancellor Jeremy Hunt not to make any pre-election tax cuts. In its annual health check on the economy the IMF said the UK was approaching a “soft landing” from economic difficulties and highlighted that any rate cuts would need to “balance the risks of premature and delayed easing”.

The International Monetary Fund on Tuesday said the Bank of England should be mindful over when to start cutting interest rates or risk harming an economy that just recently emerged from recession.