But government and banks still have much to do, says lobby group.
The Forum of Private Business responds to today's Q2 GDP figures showing growth of 0.6%, which follow the positive figures of last quarter.
CEO at the Forum, Phil Orford MBE, said: "Today's figures confirm what most had long suspected, and that's that the UK economy is at last steering to calmer waters with a recovery that's gathering pace."
"Of course there's no room for complacency though, and we urge the government to address the many burning issues such as red tape which continue to make life difficult for small firms – the real drivers of the UK economy. The government still has much to do when it comes to simplifying the tax system, and as a matter of urgency government has to address the matter of spiralling business rates."
"We also urge the banks to help the momentum by resuming proper lending to those firms desperate for cash. While RBS is currently auditing their lending processes, we would like to see more banks go the extra mile too."
"While today's news is most welcome, there is still a mountain to climb," he added.