The UK is on course to have the worst performing economy among major developed nations in 2024.
The International Monetary Fund (IMF) has almost halved the UK's projected growth for 2024 from 1% to 0.6% - half a point slower than Russia's expected growth and worse than recession-hit countries in the eurozone.
The forecasts come with Prime Minister Rishi Sunak already under pressure from within the Conservative Party to cut taxes and boost the economy ahead of the upcoming general election.
Projections for this year remain at a rate of 0.5%, the second-lowest in the G7, following July's 0.1% upgrade.
Interest rates to remain high
The Washington-based fund also expected five more years of high interest rates with inflation remaining high in the UK.
Rates remain at 5.25%, an aggressive growth from 0.1% in December 2021.
The IMF expect them to peak at around 6% next year, before remaining at around 5% until 2028.
The IMF said the UK’s under-performance "reflects tighter monetary policies to curb still-high inflation and the lingering impacts of the terms-of-trade shock from high energy prices".
In response, Chancellor Jeremy Hunt said: "The IMF has upgraded growth for this year and downgraded it for next - but longer term they say our growth will be higher than France, Germany or Italy.
"To get there we need to deal with inflation and do more to unlock growth," he said.
Global economy 'limping along'
Global growth, which was 3.5% last year, is expected to fall to 3% this year and again to 2.9% in 2024.
The fund have also said that worldwide inflation has more than halved from 11.6% in the second quarter of 2022 to 5.3% in Q2 this year.
IMF Chief Economist Pierre-Olivier Gourinchas said: "The global economy continues to recover from the pandemic, Russia’s invasion of Ukraine and the cost-of-living crisis.
"In retrospect, the resilience has been remarkable. Despite war-disrupted energy and food markets and unprecedented monetary tightening to combat decades-high inflation, economic activity has slowed but not stalled.
"Even so, growth remains slow and uneven, with widening divergences.
"The global economy is limping along, not sprinting."