UK GDP Growth Revised Higher

The UK economy expanded by 0.5% in the second quarter of 2026, according to the Office for National Statistics (ONS). The reading was revised up from the initial estimate of 0.4%, following 0.6% growth in the first quarter, indicating continued economic expansion during the first half of the year.

Services Lead Economic Growth

The services sector remained the main contributor, growing 0.6%, supported by professional services, technology and communications.

Construction activity increased 0.8%, while industrial production declined slightly by 0.1%, highlighting uneven performance across sectors.

Exports and Investment Provide Support

International trade contributed positively to growth, with exports rising 2.8% while imports remained unchanged. Stronger overseas demand for British goods and services helped support economic activity.

Domestic demand also showed signs of improvement. Household consumption increased 0.3%, while business investment rose 1.8%. A recovery in household disposable income provided additional support for consumer spending.

Growth Outlook Remains Mixed

The revised figures suggest that the UK economy maintained steady growth through the first half of 2026, benefiting from stronger services activity, exports and business investment.

However, weak industrial production and modest consumer spending continue to present challenges. Sustained economic growth will depend on further improvements in domestic demand and continued investment by businesses.

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