It's good news. We know that the economy is starting to firm up, so we may see better jobs figures in the next few months.

It's very bad news. Numbers such as this put a dent in the view that exports can pick up to counter a slower consumer sector. Growth this year isn't going to be that great.

We still see lower rates later in the year, but for now, with the economy growing at about trend and in a balanced manner, there are few reasons for policy to be altered in either direction.

Brown will hope that his performance (on Wednesday) will help to change the public's perception of him from stern chancellor to benevolent potential future prime minister.

Wednesday's annual Budget could be Brown's last.

A rebound today will allay fears the consumer sector is continuing to struggle. The improvement in the housing market should bolster consumer spending.