The impact of the Government's planned cuts in public services after the next election will be "hugely challenging", a leading economic thinktank has said, warning against a "false sense that all is now well".
The Institute for Fiscal Studies railed against overconfidence after a return to healthy growth in the economy, saying 60% of Chancellor George Osborne's cuts are still due to take effect from next year.
However, figures from Oxford Economics predicted 2.6% growth in GDP this year, raising the prospect that continued growth could remove the need for Mr Osborne's austerity plans to be implemented in full.
More top news
A British family believed to have fled to Syria have joined Islamic State, according to a statement said to be released on their behalf.
After the heatwave come the storms, with lightning flashes illuminating the night sky across much of the country last night.
An Independence Day event at a UK base has been cancelled by the US Air Force over security fears.