FX.co ★ UK GDP Growth Strongest Since 2024

The UK economy grew by 0.7% quarter-on-quarter in Q3 2026, its fastest pace since Q1 2024. The expansion, up from 0.5% in Q2, matched market expectations, according to preliminary estimates.

Services output increased by 0.9% (compared with 0.6% in Q2), driven primarily by a 4.1% rise in administrative and support service activities and a 2.1% gain in information and communication.

Production output inched up 0.1%, reversing the 0.1% decline seen in Q2. A 0.9% increase in manufacturing offset falls in mining and quarrying, electricity and gas, and water supply. By contrast, construction output contracted by 0.7%, following a 1.9% drop in the previous quarter, as a 1.6% decline in new work outweighed a 0.5% rise in repair and maintenance activity.

On the expenditure side, gross fixed capital formation rose by 1.7%, while both household and government consumption increased by 0.6%. Exports grew by 1.6%, and imports were up 1.8%.

Year-on-year, UK GDP expanded by 1.9% in Q3, accelerating from 1.4% growth in Q2.