LONDON: Britain's top equity index rose to a two-week high on Tuesday, lifted by gains in major mining stocks while housebuilder Taylor Wimpey also surged after announcing a special dividend payout.
The blue-chip FTSE 100 index was up 0.9 percent at 6,206.95 points in early session trading, its highest level since the start of May.
The FTSE held on to those levels after the publication of data showing that British inflation slipped in April for the first time since September last year.
Taylor Wimpey was among the best-performing stocks, rising 6.1 percent after the company promised investors a larger payout than previously expected, underpinned by strong demand for property in Britain.
"Taylor Wimpey is clearly confident in its prospects given its very positive upgrade to financial targets and its dividend," said Laith Khalaf, senior analyst at Hargreaves Lansdown.
Rival housebuilding stocks also advanced, with Berkeley gaining 4.4 percent while Barratt Developments advanced 2.9 percent.
Miners were also in demand following a rally in metals prices, with Anglo American climbing 3.4 percent while Glencore rose 3.1 percent.
The FTSE remains down around 1 percent so far in 2016, and is 13 percent below its April 2015 record high, with world stock markets having lost ground since then due to concerns of a slowdown in China, the world's second-biggest economy.
Traders added that uncertainty ahead of next month's referendum on whether Britain should stay in the European Union was also curbing the near-term progress of the FTSE.
"I wouldn't be inclined to buy into the FTSE, this side of the referendum," said Horizon Stockbroking director Kyri Kangellaris.
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