FX.co ★ UK Private Output Rises Most in 21 Months

The UK S&P Global Composite PMI increased to 53.7 in January 2026, up from 51.4 in the prior month. Although slightly revised down from the preliminary estimate of 53.9, it significantly surpassed initial market predictions of 51.5. This rise indicates the most robust expansion in UK private sector output, fueled by growth in both the services sector, which rose to 54 from 51.4 in December 2025, and manufacturing, which significantly climbed to a 17-month high of 51.8 from 50.6. New orders in the private sector increased for the third time in the past four months, aided by an improvement in export sales. However, rising labor costs led to a faster decline in private sector employment. On the pricing side, input cost inflation moderated compared to the end of last year, yet increasing demand conditions prompted output charges to rise. Looking ahead, business activity expectations have improved for the second consecutive month.