PHILIP Hammond has blamed snow for miserable growth figures showing the UK’s economy slumping to a five-year low.

The pound fell sharply, down 0.8 per cent against the dollar, after the Office for National Statistics’s (ONS) monthly economic commentary warned that GDP growth for the first quarter of 2018 was likely to have been as little as 0.1 per cent, the slowest rate for five years.

The chancellor said the slowdown was due to the “Beast from the East” snowstorm in February, though the ONS disagreed with claims of it having a substantial impact.

In a statement, Hammond said: “Today’s data reflects some impact from the exceptional weather

that we experienced last month,

but our economy is strong and

we have made significant progress.

“Our economy has grown every year since 2010 and is set to keep growing, unemployment is at a

40-year low and wages are increasing as we build a stronger, fairer economy that works for everyone.

“We are committed to locking in a bright future and better quality of life for everyone which is why we are investing in our people, building new infrastructure and supporting our vital public services.”

While the ONS said the snow had caused a slowdown in construction and some areas of retail, they added that it had given a boost to energy supply and online sales.

John McDonnell, Labour shadow chancellor, said: “The truth is that the last eight years of Tory economic failure has allowed our economy to be left exposed.

“It’s clear to everyone except Philip Hammond that our economy is in need of increased investment and working families are struggling with the cost of living and the burden of increasing household debt.”