Britain is on the verge of an export and spending boom as economists rule out the likelihood of a slowdown this year. Strong global growth combined with the weak pound is expected to send overseas sales soaring, giving businesses the confidence to ramp up investment.

Economists anticipate a surge in foreign demand combined with business investment, reinforcing growth even as inflation dents households’ spending power.

Companies were initially spooked by Brexit and feared that investment would plunge, but growth was supported by strong consumer spending last year. Economists at the EY Item Club believe the economy will grow by 1.8pc this year, in line with 2016’s expansion. That is a big improvement from the 1.3pc growth it previously forecast, with rising exports and a strong global economy driving the upgrade.