The quarterly leap in GDP was almost double the expected 0.6% and is the highest since the first quarter of 2006 according to the Office for National Statistics.

The increase was driven by the services sector. This sector accounts for three quarters of the economy and had its best quarter in three years with 0.9% growth.

Hotels and restaurants also saw a 0.7% increase while the only sector to register a fall was transport and communications . Transport and communications was down 0.7pc on the quarter due to the impact of Iceland’s volcanic ash cloud in April.

Production industries including manufacturing advanced by 1% between April and June, however, the strongest gains were enjoyed by the construction sector, which accounts for just over 6pc of the economy.

The 1.6% annual growth in the UK was its strongest showing since before the recession began in 2008.
The Office for National Statistics said that the 1.1% advance from the period between April and June was equalled in 2006 and was last higher in 1999.

The 1.1pc advance seen over the April-to-June period – while equalling 2006 – was last higher in 1999, the ONS said.

The improved performance is now likely to result in further calls for the Bank of England to consider raising interest rates from the record low 0.5%.

One member of the Monetary Committee, Andrew Sentance, is already calling for rate rises.

Despite the positive news, some economic experts are predicting that Chancellor George Osborne’s Budget cuts will mean that any further growth will be more difficult in future months.