CBI forecasts that despite these improvements in the economy, overall economic growth will remain flat, at  1.5 per cent in 2018 and 1.3 per cent in 2019.

“Jobs are still being created, so the strong levels of employment will support consumption growth,” said Rain Newton-Smith, the CBI’s chief economist, adding that households are saving less to pay for some of that extra spending.

Newton-Smith was disappointed with business investment growth over the coming year, forecasting just   1.2 per cent in 2018 before recovering partially to 1.6 per cent in 2019.

Any growth will depend on Brexit however, and she insists a transition agreement by Christmas is key.