The Bank of England has cut its forecasts for UK growth over the next two years, blaming Brexit uncertainty and weaker global growth.
British shoppers feeling the Brexit squeeze chose to reign in their spending over Christmas and reduce their reliance on credit cards, Bank of England figures show.
Inflation rose to 3.1% in November, the highest rate in over five years, putting a further squeeze on living standards for families across the UK.
The Royal Bank of Scotland is the bank worst prepared for a major UK housing crash, stress tests by the Bank of England (BoE) have found.
The Bank of England has cut UK interests rates from 0.5% to 0.25%, a record low since 2009.