July 6, 2007 / 11:15 PM / 13 years ago

Economic growth eases

A man poses with pound and two-pound coins in London on January 16, 2007. The economy grew an estimated 0.7 percent in the three months ending June, slightly less than in the three months to May, the National Institute of Economic and Social Research said on Saturday. REUTERS/Toby Melville

LONDON (Reuters) - The economy grew an estimated 0.7 percent in the three months ending June, slightly less than in the three months to May, the National Institute of Economic and Social Research said on Saturday.

NIESR estimates GDP grew 0.8 percent in the three months to May.

It said the figures suggested the economy continued to expand at an above-trend rate but did not warrant further monetary tightening by the Bank of England.

“Our view is that one should wait and see what effect the existing rate rises have had before raising rates further,” the think-tank said.

The central bank raised interest rates to 5.75 percent on Thursday, the fifth increase in less than a year, taking borrowing costs to their highest in six years.

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