The unexpected increase eases pressure on the government, which has been trying to spur investment and development.

Across 2024 as a whole, total GDP grew by 0.9%. Last week the Bank of England halved its forecast for growth in 2025 to 0.75%, although other forecasters such as the National Institute of Economic and Social Research remain more upbeat with a 1.5% growth forecast.

Britain's economy unexpectedly grew by 0.1% in the final quarter of last year, official figures showed on Thursday, offering some respite from a downbeat economic picture facing finance minister Rachel Reeves,