By Jonathan Davies

The UK economy grew by 0.7% in the first three months of 2015, up from 0.6% in the previous quarter, according to business lobby group, the Confederation of British Industry (CBI).

The CBI predicted that the economy would continue to gather momentum in the current quarter, with the ongoing tensions over Greece's bailout debt the biggest concern.

The monthly survey of 764 businesses also found that the UK will also have to cope with a strong pound, which is already affecting exports.

The CBI's monthly private sector growth indicator recorded a net score of +18% - meaning more businesses said they had grown than those reporting decline.

CBI deputy director general Katja Hall, said: "The outlook for 2015 looks encouraging.

"Our surveys show it's been a solid start to the year with the prospect of stronger growth to come.

"The benefits of lower oil prices should be increasingly felt; with cheaper petrol boosting households' incomes and spending power, and cutting costs for many businesses."