No double dip as economy grows 0.5% in Q1

It follows a contraction of 0.5% in the final three months of last year, which followed growth of 0.7% in Q3 2010. Ahead of today's estimate, analysts had predicted a modest growth figure of around 0.6% to 0.7%. The pound rose more than 0.4% against the dollar to $1.6519 in trading following the announcement, whilst the yield on the benchmark two year gilt rose two basis points to 1.102%. The FTSE was little changed, trading 15 points lower at 6,054. Schroders describes today's figures as "very stagflationary," while Capital Economics said the UK's underlying growth remains flat...