ONS data indicate that UK manufacturing output increased by +1.0% in Q2 2026 compared with the previous quarter, and was +1.2% higher than in Q2 2025. This represents a further improvement in manufacturing performance, although the recovery remains uneven across industries.
Seven of the thirteen manufacturing subsectors contributed positively to manufacturing growth in the latest quarter. The largest positive contribution came from “manufacture of basic pharmaceutical products & pharmaceutical preparations”, where output increased by +4.2%.
Capital goods output increased by +0.7% in Q2. Among the manufacturing industries of particular relevance to MTA members, Machinery output increased by +2.6%, while Metal Products output rose by +1.9%. Metal Products activity nevertheless remains comparatively subdued, with conditions continuing to reflect weakness across parts of the wider industrial and construction sectors.
Automotive output declined by -0.8% in Q2, continuing the volatility seen in recent quarters and leaving output below longer-term peak levels.
Aerospace output fell by -0.6% in Q2. Despite the quarterly decline, the sector continues to show a relatively stable medium-term performance trend compared with many other areas of UK manufacturing, supported by ongoing strength in civil aerospace, defence and maintenance activity.
Overall, UK manufacturing conditions improved in Q2 2026, with output increasing for the second consecutive quarter. However, the improvement remains uneven across industries, and several important areas of UK manufacturing continue to operate below previous peak levels. The latest figures therefore point to a modest improvement rather than a broad-based manufacturing recovery, with the performance of machinery and other capital-goods industries providing some more positive signals for the wider industrial equipment market.
You can download the ONS Statistical Bulletin from their web-site at https://www.ons.gov.uk/releasecalendar (13th August) or request it from MTA.