The U.K. economy grew at a lackluster pace of 0.1% in November, data from the Office of National Statistics showed Thursday.

The Bank of England will cut interest rates four times this year to support a flat-lining economy, economists polled by Reuters said, but they added that risks to inflation are to the upside, suggesting policymakers may end up doing less.

Alan Taylor, the most recently appointed member of the Bank's monetary policy committee (MPC) said the UK is 'in the last half mile on inflation' and called for a pre-emptive cut

UK inflation unexpectedly fell to 2.5 per cent in December, sparking increased expectations of an interest rate cut by the Bank of England next month. The surprise decline from November's 2.6 per cent marked the first drop in inflation for three months.

Tumbling retail sales are set to pile more pressure on Andrew Bailey and his colleagues at the Bank of England to cut interest rates further and faster...

The fall in the headline rate of inflation from 2.6 percent to 2.5 percent was unexpected and positive news for the Chancellor Rachel Reeves.

The Bank of England should move quickly to bring down interest rates given signs of a slowdown in Britain's economy, Alan Taylor, the BoE's most recently appointed interest rate setter, said on Wednesday.

The disappointing retail data adds to the dim economic picture in the U.K. and to the challenges facing Finance Minister Rachel Reeves.

The Bank of England looks set to resume cutting interest rates next month after official data revealed weaker inflation and anaemic economic growth.