UK stocks slip after IMF warning, Pets At Home jumps on forecast hike

(Reuters) - London's main stock indexes slipped on Tuesday as investors braced for a series of interest rate hikes from major central banks this week, while the IMF's warning about the UK economy added to the downbeat sentiment.

The blue-chip FTSE 100 index slipped 0.2% by 0812 GMT, with economically sensitive energy, banks and mining stocks leading losses.

Britain is the only Group of Seven nation to have suffered a cut to its 2023 economic growth outlook in International Monetary Fund forecasts published on Tuesday, adding to pressure on finance minister Jeremy Hunt to come up with a growth plan.

The economy looks set to shrink by 0.6% this year, a sharp downgrade from previously expected growth of 0.3% in the IMF's October forecast.

Meanwhile, traders are betting on the Bank of England to hike interest rates for a tenth consecutive time on Thursday.

The midcap FTSE 250 index slipped 0.2%.

Limiting the index's losses, Pets At Home jumped 10.3% after the company raised its full-year profit forecast, boosted by robust demand for its pet food, litter and accessories during the Christmas period.

Johnson Matthey rose 1.8% after the chemicals firm said it had entered into a long-term supply and joint development agreement with Plug Power for hydrogen technology-related products.

(Reporting by Sruthi Shankar in Bengaluru; Editing by Subhranshu Sahu)