The British economy grew by 0.1% quarter-on-quarter in the final three months of 2025, matching both the previous quarter’s pace and the preliminary estimate. Growth was driven primarily by the production sector, which expanded by 1.2%, supported by a 4% surge in manufacturing and repair and a 3.6% increase in machinery and equipment.
In contrast, the construction sector contracted by 2%, and the services sector was flat overall, weighed down by a 1.4% decline in professional, scientific, and technical activities.
From the expenditure perspective, household consumption edged up 0.1%, with gains led by spending on transport, miscellaneous goods and services, housing, and clothing and footwear, while net tourism contributed little to growth. Government consumption also rose by 0.1%. Gross fixed capital formation increased by 0.2%, although business investment fell sharply, down 2.5%.
Exports declined by 0.7%, reflecting weaker shipments of machinery and transport equipment, chemicals, semi-manufactures, and fuels, while imports increased by 0.7%. On a year-on-year basis, GDP was 1% higher.
