FX.co ★ UK Manufacturing PMI Falls to 2023-Lows

In March 2025, the S&P Global Flash UK Manufacturing PMI dropped to 44.6, down from 46.9 in February, falling short of the projected 46.4. This marks the sixth consecutive month of declining conditions in the manufacturing sector, bringing the index to its lowest point since late 2023. The manufacturing output saw its most significant decline since October 2023, accompanied by a sharp, export-driven downturn in overall sales. Moreover, manufacturers reported that suppliers were passing on increased employment costs and rising raw material prices, particularly metals, resulting in the highest factory gate price inflation observed since April 2023. The anticipated hikes in National Insurance contributions and the National Minimum Wage were identified as primary drivers of higher output prices, although there were occasional reports of price reductions aimed at stimulating sales. Finally, manufacturers expressed the lowest level of confidence since November 2022.