The UK manufacturing sector strengthened in January with growth in both output and new orders accelerating, final data from S&P Global showed Monday.
The final manufacturing Purchasing Managers’ Index rose to a 17-month high of 51.8 in January from 50.6 in December and exceeded the earlier flash estimate of 51.6.
Manufacturing output increased for the fourth consecutive month, with the joint-quickest pace since September 2024. At the same time, new business also grew the most in almost four years.
The survey showed that business optimism about the coming year rose to its highest level since before the 2024 autumn budget.
There were further signs of the manufacturing labor market moving closer to stabilization. The rate of job loss was the weakest in the current fifteenth consecutive month of decrease.
There were mild accelerations in the rates of increase in input costs and selling prices, the survey showed.
“UK manufacturing made a solid start to 2026, showing encouraging resilience in the face of rising geopolitical tensions,” S&P Global Market Intelligence Director Rob Dobson said.
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