A SURGE in exports has led to the UK economy recovering faster than expected with growth upgraded for the second quarter of this year by 0.1% to 0.7%.

There were small upward revisions across all sectors, including construction, manufacturing and services, leading experts to suggest the recovery appeared more durable and balanced.

A jump in exports from April to June by 3.6% - the highest increase since late 2011 - and a rise in business investment are fuelling confidence that the long-awaited recovery is beginning to bed in.

While UK ministers are not yet using the phrase "green shoots", the Treasury yesterday insisted that while there was a long way to go - the economy is still 3% smaller than it was when the crash happened in 2008 - the growth upgrade confirmed Britain was "moving from rescue to recovery".

Allan Monks, an economist at JP Morgan, said: "The demand side looks even more balanced than we thought, which sends an encouraging message about the longevity of the recovery."

Nida Ali, economic adviser to the EY Item Club, noted: "These figures are encouraging and monthly indicators suggest that the third quarter will be good as well."

Chris Leslie, shadow treasury minister, welcomed the boost to growth, he insisted more needed to be done. "We need action to catch up all the lost ground and secure a strong and sustained recovery that everybody can benefit from," he said.

The Labour frontbencher pointed to bringing forward infrastructure investment, helping the low and middle income families with a 10p starting rate of tax and a compulsory jobs guarantee for young people.