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UK economy hands Burnham surprise boost before first budget

  • Britain is showing surprising resilience — services growth hit a six‑month high and consumer confidence climbed to a two‑year peak, giving new PM Andy Burnham and finance minister John Healey an early boost.
  • Investment in tech and AI equipment, plus stronger export orders, is helping lift growth and retail activity — the AI/tech boom is starting to show up in the data.
  • Big risks remain: inflation looks likely to rise above 3% and the Iran war could push energy prices (and borrowing costs) higher, keeping public finances under pressure.
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