HOPES of a sustained recovery were fuelled today after official figures revealed Britains economy grew by a better-than-expected 0.8 per cent during the third quarter.

The quarter-on-quarter rise in gross domestic product (GDP) was less than the 1.2 per cent surge in the previous three months, but double the growth expected by most experts.

Economic growth over the past six months has now hit 2 per cent, which is the fastest pace of expansion seen over two consecutive quarters for 10 years, according to the Office for National Statistics (ONS).