The European Union has lowered its outlook for Great Britain, saying uncertainties involving the upcoming Brexit referendum may hurt British economic growth this year.

The European Commission predicts that the British economy will grow 1.8 percent this year and 1.9 percent next year. That's down from its previous forecast of 2.1 percent for each year.  

The EU warns of downside risks, reflecting less favourable external demand and uncertainty in the lead-up to the June referendum.