The Brexit vote failed to impact the economy, which is expected to have to have expanded by two per cent in 2016, with stellar growth of 0.5 per cent in the fourth quarter, according to a leading think-tank.
James Warren, from the National Institute for Economic and Social Research (NIESR), said: “Our estimates suggest the economy grew by 2 per cent in 2016, in line with the long run potential growth rate of the UK economy.”
A host of key economic indicators beat expectations at the end of 2016, suggesting strong growth.
Industrial production grew by 2.1 per cent in November from the previous month, according to data from the Office for National Statistics (ONS).
Manufacturing, construction and services output was also higher than expected in December, according to the closely-watched Markit Purchasing Managers Index (PMI).
Official estimates of growth in the fourth quarter will be published by the ONS at the end of the month.
This week, Bank of England Governor Mark Carney admitted that Brexit now looked to be a bigger risk for Europe than the UK.
It signalled a major U-turn for the Bank, which had warned of a hit if Britain was to vote to leave.
The deluge of positive economic news in the months after the referendum, have prompted leading organisations to re-forecast growth up for Britain in 2016.
But many still believe a slowdown could take place this year.
Last week, however, Capital Economics changed its predictions for 2017 up - and more organisations could soon follow.
Jonathan Loynes from Capital Economics said: "Our forecast – adopted the day after the EU referendum – that the UK economy will grow by 1.5 per cent in 2017 has looked gradually less out on a limb as the incoming data have surprised on the upside.
"The consensus forecast has risen steadily towards our projection from its low of 0.5 per cent seen last July. "
He added: "We have concluded that our forecast of 1.5 per cent growth this year now looks a bit too low as a central projection and we have therefore nudged it up to 1.8 per cent.
"This puts some fresh air back between us and the consensus forecast, though we suspect that the latter will continue to rise over the coming months."