Bank to cut growth forecast to zero

Press Association
Sir Mervyn King
Sir Mervyn King

The Bank of England will slash its growth forecasts close to zero on Wednesday as the double-dip recession deepens and the eurozone storm closes in on UK shores.

Governor Sir Mervyn King is expected to indicate no growth for 2012 in the Bank's quarterly inflation report, compared with 0.8% predicted three months ago and 2% a year ago.