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.

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�.

Flybe has announced the sale of all its take-off and landing slots at London Gatwick airport to Easyjet for �20m. The sale is part of a cost-cutting programme for the airline.

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.