Cheer up: we’re robust enough to withstand a shock from China

Home from the hot Aegean, huddled by the fire as rain ruins the bank holiday weekend, I’m thinking: what gloom has descended since I’ve been away — and doesn’t it call for a round-up of cheerful news? So here goes. The UK economy grew by 0.7 per cent in the second quarter and a respectable 2.6 per cent over the past year. US growth has been revised sharply higher to 3.7 per cent, scotching our claim to be the fastest growing western economy, but George Osborne can still say convincingly that ‘we’re motoring ahead’ — and weak first-quarter performance can be seen as a blip rather than the revelation of doom it was declared to be by Ed (‘Where is he now?’) Balls.

Tax receipts are rising at an annual rate of 4.4 per cent, well ahead of the Office for Budget Responsibility’s forecast. Retail sales volumes are up 4 per cent from last year and have been particularly strong in the clothing sector.