The updated figures from the Office for National Statistics showed that the UK's dominant services sector, which accounts for three quarters of national output, drove the recovery - growing 0.6pc over the three months.

Thursday 10.30 BST. Global stocks are in sharp retreat, led by a savage plunge in Tokyo, as traders are spooked by the prospect of reduced central bank support and a slowing Chinese economy.

China's manufacturing is contracting in May for the first time in seven months, adding to signs that economic growth is losing steam for a second quarter.

Global markets fell after weak Chinese data and worries that the US Federal Reserve may slow its monetary stimulus. In Asia, the fall was led by Japan's Nikkei index, which closed down 7.3%, having fallen as much as 10%.

The company sold its slots at the London airport to Easyjet for �20m, blaming an increase in airport charges. Flybe operates three flights a day from the resort to London Gatwick.

Faced with challenging conditions in Europe and the US, the world's second largest brewer, SAB Miller, has been looking for growth in alternative markets.

Halfords Group Plc (HFD), the U.K.'s biggest seller of bicycles, fell the most ever after announcing a surprise dividend reduction to boost investment in training workers, revamping stores and improving its Web business.

Ford is to cease production in Australia by 2016 and cut about 1,200 jobs - almost half its local workforce - after concluding the business case for producing vehicles locally �did not stack up�.

The veteran investor's private equity fund Quantum Strategic Partners has backed the infrastructure effort. Hyperoptic is extending its fibre optic cables all the way into homes, allowing it to provide internet access at one gigabit per second, more than 10 times ...

Mothercare posted another big loss in the last financial year, but the UK retailer said it was making good progress with its turnaround plan.