FX.co ★ UK Input PPI Turns Negative in January, Signalling Softer Pipeline Cost Pressures

The United Kingdom’s Producer Price Index (PPI) Input slipped into negative territory in January 2026, indicating easing cost pressures for manufacturers. Year-over-year, input prices fell by 0.2% in January, compared with a 0.5% increase recorded in December 2025.

The data, updated on 18 February 2026, show a notable turnaround in the annual rate of change, with the January reading marking a decline in the cost of goods and materials purchased by UK producers relative to the same month a year earlier. In contrast, December’s figure still reflected rising input costs compared with December a year before.

This shift from a positive to a negative annual rate suggests that upstream price pressures in the UK production sector may be softening, a development that could, over time, feed through to output prices and broader inflation dynamics. The figures are based on a year-over-year comparison, measuring each month’s change against the corresponding month in the previous year.