The UK economy grew faster than expected in February but concerns remain that Donald Trump's tariffs will restrict future growth.
Date from the Office for National Statistics (ONS) showed growth domestic product expanded by 0.5%, up from just zero growth in January.
Analysts expected the economy to have expanded by 0.1% in February.
The services sector expanded by 0.3% while the production sector grew by 1.5%. Construction activity increased by 0.4%.
The figures come as economists expected that US President Donald Trump's tariffs would constrain the UK economy after it was hit by a 10% import charge.
Responding to the latest GDP data, published by the ONS this morning, Stuart Morrison, Research Manager at the British Chambers of Commerce said: “The stronger than expected GDP rebound in February, and positive data for the three months, are welcome news. There was an encouraging story from both the services and manufacturing sectors.
“However, businesses across the UK are under no illusion - significant sustained growth continues to remain elusive.
“Events of recent weeks will have substantially changed the growth picture going forward. Businesses are now facing the double-edged sword of rising domestic costs, including the national insurance rise, and growing global trade uncertainty. However, it will be several months before we see the real impact on economic data.
“In the search for growth, much will hinge on the upcoming industrial strategy. We also need to see urgent action by ministers on business rate reform, infrastructure and export support. Government should be doing all it can to help business navigate the choppy waters both at home and abroad.”
FTSE 100
The UK's flagship share index, the FTSE 100, was down 97-points at 7,969 shortly after opening this morning.
Brent crude oil futures were up 1.04%, trading at $64.03 a barrel.
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