The UK Manufacturing PMI jumped to 53.6 in April 2026 from 51.0 in March, exceeding expectations of 49.9 and marking the strongest expansion since May 2022. Production rebounded, and new orders edged higher, with firms reporting that customers accelerated orders and built safety stocks amid fears of rising prices and supply shortages. Employment rose for the first time since October 2024, but supplier lead times lengthened sharply, the worst vendor performance since June 2022. On pricing, input costs and output charges surged due to higher raw material and transport expenses. However, business sentiment weakened as firms grappled with inflation pressures and concerns over geopolitical tensions disrupting supply chains, consumer confidence, and investment.

UK Private Sector Output Unexpectedly Rebounds

The S&P Global UK Composite PMI jumped to 52.0 in April of 2026 from 50.3 in the previous month, well above expectations of 49.8 to reflect fresh traction in the British private-sector economic output. The pickup in momentum was observed in both manufacturing (51.8 vs 49.2 in March) and services (52.0 vs 50.5) to reflect marked resilience to macroeconomic headwinds from the war in Iran, namely the surge in energy and power prices. New orders and business at the aggregate level was steady as moderate growth for goods producers offset the marginal reduction for services. Still, the business outlook for goods producers was hit as the panel noted that many orders were placed from clients frontloading concerns of war-drive disruptions to come. Employment decreased for the 19th strait month with firms blaming higher National Insurance contributions. Meanwhile, input costs surged the most on record for services providers, driving aggregate charge inflation to its highest since June 2022.

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