Britain's economy grew at a healthier than expected rate in the first quarter, according to figures out Friday, raising expectations of an interest rate rise next week. The Office for National Statistics said that gross domestic product grew at 0.7 percent during the period from the previous quarter, putting the annual growth rate at 3 percent, The Associated Press reported. The statistics office said the rate was supported by a banking boom and consumer spending. Bank of England Governor Mervyn King said Thursday that inflationary risks were «still on the upside» despite «tentative signals» of slowing consumer spending. King noted that the domestic economy has proved resilient to four interest rate increases since August. The benchmark interest rate is currently at a six-year high of 5.5 percent, putting Britain on top of the interest rate table of the world's seven wealthiest nations. Economists are tipping another rise of a quarter of a percentage point when the bank's monetary policy committee meets next Thursday.
