UK Industrial Output Falls More than Expected

Industrial production in the UK fell 0.5% month-on-month in May 2026, worse than market expectations of a 0.1% drop and reversing an upwardly revised 0.2% gain in the previous month. It marked the first monthly decline since January, driven by a sharp drop in mining and quarrying output (-4.6% vs 2.4% in April), with crude petroleum and natural gas extraction plunging 4.8% to its lowest level since records began in 1990. In addition, manufacturing growth slowed (0.1% vs 0.5%), led by weaker output in the manufacture of basic pharmaceutical products and preparations (0.6% vs 4.3%). Overall production was also weighed down by a decline in water supply, sewerage and waste management (-2.4% vs 0.2%). Meanwhile, electricity, gas, steam and air-conditioning supply fell at a much softer pace (-0.1% vs -2.1%). On a yearly basis, industrial production jumped to 1% in May from a revised flat reading in April, though it remained below market expectations of 1.2%.

Industrial production in the UK stalled month-over-month in April 2026, missing market expectations for a 0.1% gain and following a 0.2% decline in the previous month. The flat reading reflected a sharp output drop in electricity, gas, steam and air-conditioning supply (-3.2% vs –4.3% in March), alongside lower activity in water supply, sewerage and waste management (-0.5% vs -1.6%). At the same time, production growth in the manufacturing sector slowed (0.4% vs 1.2%), driven largely by lower output for electrical equipment (-5.5% vs 3.3%), transport equipment (-1.9% vs 2%), and computer, electronic and optical products (-1.0% vs 1.9%). This partly offset gains in mining and quarrying, which grew by 2.5%, after decreasing 2.3% in the prior month. On a yearly basis, industrial output fell 0.2% in April, surpassing market forecasts for a 0.2% decline and following a flat reading in the preceding period. .

Industrial production in the UK fell by 0.2% month-on-month in March 2026, reversing a downwardly revised 0.3% gain in February but coming in slightly better than market expectations of a 0.3% drop. The decline was primarily driven by contractions in mining and quarrying (-2.3% vs 4% in February) and electricity, gas, steam and air-conditioning supply (-4.3% vs 0.9%), while water supply, sewerage and waste management declined further (-1.6% vs -0.2%). In contrast, manufacturing output rebounded to a four-month high of 1.2% from a 0.2% fall in February, mainly supported by recoveries in transport equipment (2% vs -2.1%) and basic metals and metal products (2.1% vs -1.7%), alongside a continued increase in basic pharmaceutical products and preparations (2.1% vs 0.5%). On a yearly basis, industrial output stalled, following an upwardly revised 0.5% fall in the previous month and missing market expectations of a 0.2% rise. During Q1 2026, industrial output increased by 0.2%.