Britain will be the best performing of the world's major economies this year with growth of 2.9%, according to the International Monetary Fund, as consumer spending rebounds, inflation remains low and unemployment continues to fall steadily.
Three pieces of evidence emerged about the UK economy on Tuesday.
Disappointing news about the state of Britain's trading position and further confirmation that squeezed households are driving down their savings have fanned fears about the sustainability of the recovery.
Bank of England concern about the pound's strength has been revealed in comments from one of Threadneedle Street's top officials, who has said a further rise in sterling would damage hopes of an export boost to the economy.
The UK economy will exceed its pre-recession peak this summer, according to the latest predictions from British businesses, despite warnings that the recovery is on shaky foundations as a booming housing market stokes consumer confidence .
UK homeowners and businesses should be braced for an interest rate rise around the time of next year's general election, a senior Bank of England policymaker said on Thursday in the most explicit guidance on borrowing costs yet provided by Threadneedle Street.
Hopes that the recovery kept up momentum at the close of last year will be boosted by a report suggesting businesses are enjoying their strongest growth since before the financial crisis.
The International Monetary Fund is widely expected to raise its outlook for the UK this week, nudging up the country's growth forecasts by more than for any other major economy.
What a difference a year makes.
George Soros is worried about China, and we should take note. The hedge fund boss, who built his fortune betting on the world's money markets, is concerned that 20 years of rapid growth is about to run out of steam.
Britain has slipped two places down Europe's league table of living standards falling to sixth after being overtaken by Austria and Germany, the European Union's statistical body said.
It says something about the enfeebled state of the British economy when the Treasury can take comfort from a forecast from the Organisation for Economic Co-operation and Development that growth will be just 0.9% next year.