As the 66-year-old Princess Royal walked down from Sandringham House to St Mary Magdalene church yesterday, an onlooker asked how her mother was feeling.
Princess Anne smiled and replied: "Better".
Her husband, Vice-Admiral Sir Tim Laurence, was also asked how the Queen was feeling and replied: "Not too bad".
While the Queen is said to be recuperating and is well enough to be out of bed, she chose not to attend the New Year's Day church service at her Sandringham estate in Norfolk.
A Buckingham Palace spokesperson had said on Sunday: "The Queen does not yet feel ready to attend church as she is still recuperating from a heavy cold."
According to officials, she has been well enough to go over government papers and has not had to go to hospital or undergo any tests.
The Palace had first said the monarch's illness on December 21 when she and Prince Philip cancelled plans to travel to Sandringham by train because they were both suffering from a "heavy cold".
The last time the Queen was seen in public was at the annual reception for the diplomatic corps at Buckingham Palace on December 8.
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