German growth burst

THE German economy is growing at its fastest rate since 2014 – eclipsing painfully slow expansion in the UK.

EU statistics reveal Germany’s economy expanded by 0.7pc in the first quarter, beating expectations thanks to a jump in government and household spending.

In Britain, however, figures published earlier this week show growth was sluggish at 0.3pc in the three months to April, and half the pace of late 2015. And construction figures released yesterday show the biggest slowdown for more than four years.

Building activity fell 3.6pc in March alone and was 1.9pc down in the first quarter.

Elsewhere, growth was up in Italy, easing fears of a meltdown. The country’s economy expanded by 0.3pc despite concerns about the stability of the nation’s banking system.