UK Manufacturing PMI Revised Slightly Down

The S&P Global UK Manufacturing PMI was revised slightly lower to 51.7 in February 2026 from a preliminary of 52, and compared to a 17-month high of 51.8 in January. The reading continued to point to expansion in the manufacturing sector, with output growth reaching the highest in 17 months. New orders, output and supplier delivery times saw levels consistent with improved operating conditions, while there were declines in employment and stocks of purchases. Meanwhile, the rate of input cost inflation accelerated for the third successive month to reach a six-month high. Increased purchase prices were linked to the rising costs for chemicals, copper, electronic components, energy, gold and silver. Supply chains remained stretched, with vendor lead times lengthening for the twenty-sixth month in a row. Finally, the outlook for the sector also remained relatively positive, with almost three-fifths of manufacturers expecting output to rise over the coming 12 months.

The S&P Global UK Manufacturing PMI rose to 52.0 in February 2026 from 51.8, beating expectations of 51.5, according to a preliminary estimate. The reading signaled the strongest expansion since August 2024, with output increasing at the fastest pace in 17 months. New orders grew more quickly, supported by the sharpest rise in export demand in four-and-a-half years, with firms citing stronger sales to the US, Europe, and Asia. However, employment and backlogs of work continued to decline. On the pricing front, both input costs and output prices rose sharply. Business optimism improved to a one-and-a-half-year high, driven by expectations of stronger exports and international expansion.

The S&P Global UK Manufacturing PMI rose to 51.8 in January 2026, above the preliminary reading of 51.6 and up from 50.6 in December. The latest figure signals the fastest pace of expansion since August 2024. Manufacturing output increased for a fourth consecutive month, matching the joint-quickest growth rate since September 2024, supported by stronger export demand, broadly stable domestic conditions, and a lift from customer restocking. By company size, the upturn was largely driven by large manufacturers, while SMEs reported a third straight month of falling production. Encouragingly, new orders rose at the fastest pace in nearly four years, and employment continued to decline, though at a slower rate. On the inflation front, input costs and selling prices increased more quickly, reflecting higher raw material costs and suppliers passing through price rises. Meanwhile, business confidence strengthened, reaching its highest level since before the 2024 Autumn Budget.