FX.co ★ UK GDP Falls 0.1% in September

In September 2025, the United Kingdom witnessed a 0.1% decline in its monthly real GDP, falling short of both August’s performance and market forecasts, which had anticipated no change. Production output saw a significant contraction of 2%, overturning the previous month's 0.3% gain and representing the steepest decline observed since January 2021. All production subsectors experienced reductions, with manufacturing down by 1.7%, electricity, gas, steam, and air conditioning supply dropping by 3.4%, similar declines in mining and quarrying at 3.4%, and water supply, sewerage, waste management, and remediation activities decreasing by 0.7%. Conversely, the services sector experienced a growth of 0.2%, bouncing back from a 0.1% decline in August. This recovery was fueled by robust performance in wholesale and retail trade; repair of motor vehicles and motorcycles (up 1.4%), information and communication (up 0.8%), and education (also up 0.8%). Meanwhile, construction output rose by 0.2%, following a 0.5% contraction in the previous month, spurred entirely by a 0.7% increase in new construction projects.