UK Inudstrial Output Falls at Softer Pace

Industrial production in the UK fell 0.1% month-on-month in January 2026, defying market expectations of a 0.2% rise, but easing from a 0.9% decline in December. Manufacturing output rebounded modestly (0.1% vs -0.5% in December), mainly driven by recoveries in the manufacture of transport equipment (4% vs -1.1%), food products, beverages, and tobacco (2.2% vs -1.4%), chemical and chemical products (1.5% vs -5%), and other manufacturing and repair (4.5% vs -2%). Output also rebounded for water supply, sewerage, and waste management (1.9% vs -2.4%) and declined at a softer pace for electricity, gas, steam, and air-conditioning supply (-0.3% vs -1.7%). In contrast, output in mining and quarrying continued to fall sharply (-3.2% vs -0.7%). On an annual basis, industrial activity edged down to 0.4% from 0.5% in December, slightly below market expectations of a 0.6% gain.

Industrial production in the UK unexpectedly fell by 0.9% month-on-month in December 2025, defying market expectations of a flat reading and reversing an upwardly revised 1.3% gain in the previous month. This marked the first decline since September, as manufacturing output slipped (-0.5% vs 1.9% in November), weighed down by lower production in basic pharmaceutical products and preparations (-2.6%), food products (-1.4%), and chemical products (-5%). The overall drop was also driven by electricity, gas, steam, and air-conditioning supply (-1.7% vs 1%) and water supply, sewerage, and waste management (-2.4% vs -0.8%). Meanwhile, output decreased at a softer pace for mining and quarrying (-0.7% vs -0.9%). On a yearly basis, industrial output eased to 0.5% from 2.3% in the previous month, well below market expectations of 1.5% increase. For 2025, total annual production rose 0.2%, marking its first yearly growth since 2021.

Industrial production in the UK rose by 1.1% month-on-month in November 2025, easily beating market expectations of a 0.1% increase, though easing slightly from an upwardly revised eight-month high of 1.3% in the prior month. Output declined in mining and quarrying (-2.5% vs 4.4% in October), electricity, gas, steam and air conditioning supply (-0.5% vs 4.1%), and water supply, sewerage and waste management (-0.6% vs 1.4%). In contrast, manufacturing output climbed to 2.1% from 0.4% in October, driven in part by a recovery in output at Jaguar Land Rover after a cyberattack weighed on production earlier in the autumn. Notably, output accelerated in the manufacture of transport equipment (10.7% vs 3.9%) and basic metals and metal products (2.5% vs 0.3%). On a yearly basis, industrial production jumped to 2.3% in November from an upwardly revised 0.4% gain in the previous month, defying market expectations of a 0.4% decline. This marked the strongest annual reading since June 2021.