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Global economic body the OECD has warned that the Chancellor's tax rises are killing off growth and hiking unemployment.

The international economic body also revealed that the Chancellor will miss her inflation target every year of the forecasts.

In its latest economic outlook, the influential organisation said UK growth will slow from 1.4% this year to 1.2% next year, before edging up to 1.3% in 2027, with "substantial" downside risks of the fiscal tightening plans.

It kept its forecast unchanged for 2025, but upgraded the prediction for 2026 from the 1% pencilled in three months ago.

Unemployment, according to their models, is set to hit 5% in 2027, comparable with the Covid pandemic and the Winter of Discontent.

The document made repeated references to cost pressures being heaped on businesses by the government, including Ms Reeves' hike last year to employers' National Insurance and continuing increases to the minimum wage.

The report comes amid mounting pressure on Chancellor Rachel Reeves over last week's Budget, with accusations that she misled voters over the state of the public finances ahead of the event, while businesses have criticised it for failing to include measures to boost growth.

The Chancellor announced £26 billion worth of tax rises at the November 26 budget, with measures including a freeze on income tax thresholds which will leave 1.7 million people paying more, taking the tax burden to an all-time high, according to the Office for Budget Responsibility (OBR).