Business investment in the United Kingdom rose by 0.9% quarter-on-quarter in the three months to March 2026, slightly above the preliminary estimate of 0.7% and rebounding from an upwardly revised 3.0% decline in the previous quarter. Although the latest figures still point to a fragile recovery in corporate spending, the improvement was largely driven by a strong rebound in investment in transport equipment, ICT equipment, and other machinery and equipment, as well as higher spending on other buildings and structures. By contrast, investment in intellectual property products fell over the period.
On an annual basis, business investment declined by 1.3%, a smaller drop than the initially estimated 1.8%, but a marked turnaround from the 1.8% expansion recorded in the three months to December 2025. Meanwhile, overall gross fixed capital formation increased by 0.4% quarter-on-quarter and was 1.6% higher than in the same period a year earlier.
