The Office for National Statistics (ONS) has reported that the UK’s economy has risen to 0.7% growth, bringing the country back to its pre-recession peak.
The increase during this April to June period means Britain has managed to sustain its tenth consecutive quarter of GDP growth.
ONS chief economist Joe Grice said: “After a slowdown in the first quarter of 2015, overall GDP growth has returned to that typical of the previous two years.”
Figures collected by ONS show the acceleration from the 0.4% growth seen in the year’s first quarter has been helped by an escalation in North Sea oil and gas production.
Whilst manufacturing output has dropped 0.3%, these resources have lifted industrial output by 1%, boasting its biggest increase since late 2010.
This surge in oil and gas is thought to have been supported by Government tax cuts designed to support the area in March, amid the falling prices and rising costs of the business.
As domestic demand and growth are estimated to remain strong due to lower inflation and oil prices, this could continue the drive in consumer spending and business activity.
ONS also stated that the economic output in the second quarter was 2.6% higher than the same period a year earlier.
Chancellor George Osborne says despite the country “motoring ahead” with economic production, there still needs to be a level of caution:
“There are clear risks out there in the world economy, from the Eurozone to what’s happening in the world’s stock markets, and so it’s vital that we stay on the road that we’ve set out on.”
These latest economic figures now have analysts wondering when the Monetary Policy Committee (MPC) will raise interest rates from the historic low of 0.5%.
Bank of England governor Mark Carney has suggested rates could rise “at the turn of this year.”
