Travel and tourism UK's 'fastest growing sector' in October

According to the company’s UK Recovery Tracker, the number of sectors reporting output growth also hit a three-month high last month. Twelve out of 14 sectors reported output growth, up from 10 in September.

Tourism and recreation recorded an output reading of 70, which makes it the fastest growing UK sector monitored by the tracker for the second month in a row.

Lloyds said the sector was "boosted" by the relaxation in international travel rules and more tourists visiting the UK. A reading above 50 reportedly signals output is rising, while a reading below 50 indicates contraction.

The sectors that faced high levels of input cost inflation and comparatively lower levels of output price inflation were technology equipment manufacturing, healthcare and tourism and recreation.

Jeavon Lolay, head of economics and market insight for Lloyds Bank Commercial Banking, said the UK economy "regained some momentum" after a "summer slowdown".

"However, while encouraging, the headwinds from supply chain disruption and brisk input price inflation are proving both more persistent and stronger," Lolay added.