The UK economy continued to expand in the three months to May 2026, with GDP increasing by +0.7% compared with the previous three-month period. Although slightly slower than the revised +0.8% growth recorded in the three months to April, this marks the sixth consecutive period of three-month expansion, suggesting the economy continues to grow despite a challenging backdrop. On a monthly basis, GDP increased by +0.1% in May, following a -0.1% fall in April.
As has been the case for much of the past year, the services sector was the main driver of growth. Services output rose by +0.7% over the latest three-month period, with particularly strong contributions from information and communication, professional, scientific and technical activities, and healthcare. In May alone, services output increased by +0.3%, more than offsetting declines elsewhere in the economy.
The picture for industry was more mixed but contained some encouraging signs for manufacturing. While total production output rose by only +0.1% over the three months to May, this was entirely attributable to a +1.6% increase in manufacturing output. This is described in more detail in the following article.
Monthly data paint a slightly different picture. Overall production output fell by -0.5% in May, largely because of weaker mining and quarrying, utilities, and water and waste management. Manufacturing, however, continued to edge higher, rising by +0.1%. The strongest contribution came from machinery and equipment, where output increased by +5.3%, while computer, electronic and optical products and pharmaceuticals also recorded gains. These were partly offset by lower output in basic metals, rubber and plastics, and other manufacturing.
Construction also remained positive over the medium term, with output increasing by +1.6% over the three months to May, supported by both new work and repair and maintenance activity. However, monthly construction output fell -0.8% in May, reflecting a decline in repair and maintenance work.
Overall, the latest data suggest that the UK economy continues to grow steadily, with manufacturing providing the underlying strength within the production sector even as weakness in other industrial activities weighed on monthly output. There are more details in the range of ONS Statistical Bulletins which can be downloaded from their website at https://www.ons.gov.uk/releasecalendar (16 July) or on request from MTA