The latest Cash Counter analysis by KPMG estimates that the FTSE 350 will generate over £301.9 billion in surplus cash from 2008 to 2010.
City estimates have found that FTSE 100 will itself amass £278.3 billion surplus by the end of 2010.
This is a staggering 60.6 per cent increase on the forecast level of £173.3 billion which was predicted in January 2007.
It is reported that the increase is due to the current "bonanza" being experienced by oil, gas and mining companies.
David Simpson, partner in KPMG's corporate finance practise, said that even "non-resource companies" are forecast great surplus cash flows.
"The findings of KPMG’s latest Cash Counter analysis are surprising in that they show robust corporate cash flow despite the current gloomy economic environment," he added.
The Council of Mortgage Lenders recently said that interest rates will not reduce until the UK is over "the spike of inflation".
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