FX.co ★ UK Industrial Output Exceeds Expectations

In August 2025, the UK's industrial production increased by 0.4% compared to the previous month. This rise follows a downwardly revised 0.4% decrease in July and surpassed market predictions, which anticipated a 0.2% increase. The manufacturing sector saw a recovery, with output climbing by 0.7% after a 1.1% decline in July, primarily fueled by an upswing in the production of basic pharmaceutical products. Furthermore, there was a slight uptick in the output of electricity, gas, steam, and air-conditioning supply, which rose by 0.4% in comparison to a 0.1% increase previously. Conversely, the production fell in the mining and quarrying sector, dropping by 2.3% following a 2.1% rise, while growth slowed significantly in the water supply, sewerage, and waste management sector, increasing by only 0.3% compared to a 1.2% rise previously. On a year-on-year basis, industrial activity declined by 0.7% in August, further extending a revised 0.1% drop observed in July and coming in above market expectations of a 0.6% decline.