The U.K. economy expanded at a faster pace in the second quarter largely driven by an improvement in services output, preliminary estimate from the Office for National Statistics showed Tuesday.

Gross domestic product grew 0.7 percent sequentially, in line with forecast, following a 0.4 percent rise in the first quarter.

Services expanded 0.7 percent and production increased 1 percent. While construction growth showed flat growth, agriculture contracted 0.7 percent.

GDP was 2.6 percent higher in the second quarter compared with the same quarter a year ago. Annual figure also matched expectations.

Another report from ONS said the latest index of services suggested that output increased by 0.3 percent in May from April, when it climbed 0.2 percent. The monthly growth rate came in line with expectations. On a yearly basis, services output advanced 2.7 percent.

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