UK economy posts surprise 0.4% growth in June despite tax and trade pressures

GDP figure beats forecasts but growth slowed to 0.3% in the third quarter as chancellor considers options for budget

The UK economy grew at a faster rate than expected in the second quarter, official figures show, despite pressure on households and businesses from tax increased and Donald Trump’s global trade war.

Figures from the Office for National Statistics showed growth in gross domestic product (GDP) slowed to 0.3% in the three months to the end of June, down from a rate of 0.7% in the first quarter.