Economists had predicted flat growth in March and the 0.1% increase for the first quarter of 2023 (Picture: Getty Images)

The UK economy marginally grew over the first quarter of the year, according to official data, further easing concerns that the UK could soon enter a recession.

UK gross domestic product (GDP) increased by 0.1% between January and March, the Office for National Statistics (ONS) revealed.

But it came after a 0.3% decrease in March, driven by falls for the retail and wholesale sector while the healthcare sector was also impacted by strike action.

Economists had predicted flat growth in March and the 0.1% increase for the first quarter of 2023.

ONS director of economic statistics Darren Morgan said: ‘Despite the UK economy contracting in March, GDP grew a little over the first quarter as a whole.

‘The fall in March was driven by widespread decreases across the services sector.

‘Despite the launch of new number plates, cars sales were low by historic standards – continuing the trend seen since the start of the pandemic – with warehousing, distribution and retail also having a poor month.’

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UK gross domestic product (GDP) increased by 0.1% between January and March.