Business

London Market Report

(Close): Shares in housebuilders continued to rise after measures announced by the Bank of England on Thursday to cool the housing market were not as severe as feared.

Barratt Developments rose 3.2% and Persimmon was up 1.5%, adding to gains seen in the previous session.

The benchmark FTSE 100 index closed up 22.65 points at 6,757.77.

Tui Travel led the way, gaining 3.5% after announcing a merger deal with parent company Tui.

Rolls-Royce rose 2.2% on reports it could be an exclusive engine supplier to Airbus' upgraded A330 planes.

In the FTSE 250, shares in National Express climbed 3.6% after its c2c rail firm won the 15-year Essex Thameside rail franchise.

The latest GDP growth estimate for the first quarter of 2014 from the Office for National Statistics came in unchanged at 0.8%, although the figures also showed a rapid pick-up in business investment.

On the currency markets, the pound was almost unchanged against the dollar at $1.7020, and lost four-tenths of a cent against the euro to 1.2474 euros.