- Prior 50.2
There is a slight negative revision but it still marks an improvement to November, as the UK manufacturing recovery continues at end of 2025. Of note, both output and new orders nudged higher in helping to see the headline reading post a 15-month high. So, that's a positive signal at least. However, there was a mild increase in price pressures as input cost inflation accelerated and output charges rose after declining in November. S&P Global notes that:
“Further signs of growth emanated from the UK manufacturing sector before the turn of the year. Output rose for the third successive month and new order intakes improved, albeit slightly, for the first time since September 2024. The domestic market remained a positive spur to growth while new export business, despite having now fallen for almost four consecutive years, took a sizeable stride towards stabilising.
"UK manufacturers benefited from several reduced headwinds towards the end of the year, as the negative impacts of the uncertainty surrounding the Autumn Budget, tariffs and the JLR cyber-attack all moderated.
"The start of 2026 will show if growth can be sustained after these temporary boosts subside. The base of the expansion needs to shift more towards rising demand and away from inventory building and backlog clearance. December’s interest rate cut will hopefully play some part in assisting this transition, encouraging manufacturers and their customers to increase spending and investment. Manufacturers remain uncertain on this score, with business optimism falling for the first time in three months in December.”
