FX.co ★ UK Manufacturing Growth Slightly Cools

The S&P Global UK Manufacturing PMI slipped to 51.4 in March 2026 from 51.7 in February, defying expectations of a sharper decline to 50.1, according to preliminary estimates. Although the index remained in expansionary territory, it pointed to the slowest pace of growth in three months, as output increased only slightly and new orders softened amid weaker domestic demand and lower export sales.

Employment edged down as firms remained cautious about hiring. On the cost front, input prices rose at their fastest pace since October 2022, driven by higher fuel costs, increased prices for energy‑intensive raw materials, and more expensive transportation. Output charges also climbed sharply in response.

Supply chains stayed under strain, with about 25% of manufacturers reporting longer delivery times—the steepest deterioration in vendor performance since July 2022. Looking ahead, manufacturers’ confidence for the coming year weakened, weighed down by geopolitical uncertainty and rising costs.