UK GDP Grew 0.1% in August 2026 as Manufacturing Picked Up
The UK economy grew 0.1% in August 2026, with production up 0.8% and services flat. Over the three months to August, GDP grew 0.7%, driven entirely by services.
By Entrepreneur Group · Published · Updated
The UK economy grew 0.1% in August 2026, the Office for National Statistics reported on 15 October. Production rose 0.8%, services were flat and construction fell 0.2%. July's growth was confirmed at 0.4%, and June was revised up to 0.4%.
Looking at the three months to August, which smooths out monthly swings, GDP grew 0.7% compared with the three months to May. Services grew 0.9% and were the only sector to contribute positively.
Where the growth came from
In August itself, manufacturing rose 1.2% and mining and quarrying 1.4%, lifting production. Within services, wholesale, retail and motor trades rose 2.0%, while administrative and support services fell 1.7%.
Over the three months, the picture was different:
- Services (up 0.9%) were led by professional, scientific and technical activities (up 2.8%), information and communication (up 2.8%) and administrative and support services (up 3.0%).
- Production (down 0.2%) was pulled down by water supply, sewerage and waste (down 3.1%) and mining (down 0.6%), partly offset by manufacturing (up 0.1%).
- Construction (down 1.0%) fell as new work dropped 1.4%, led by private housing (down 3.2%).
The ONS also revised several July figures. Construction is now estimated to have fallen 0.5% in July rather than growing 0.1%, while services and production were revised up.
Why it matters for founders
This section is editorial guidance.
The three-month figures show where demand has been strongest. Businesses selling professional services, software, data and technology, or outsourced support saw the fastest-growing parts of the economy over the summer. That matches what many B2B founders will recognise: clients are still buying expertise and digital services even while other parts of the economy slow.
Construction is the weak spot. A 3.2% fall in private housing new work over three months matters if you supply builders, sell into property, or offer home-related services. Plan for slower orders and watch payment terms closely.
The monthly figure is small and can be revised. AJ Bell noted that forecasters had expected a 0.1% fall in August, so the result surprised on the upside. But one month of 0.1% growth is not a strong signal either way. For planning, the three-month trend is more useful.
What comes next
The next monthly estimate, covering September and the third quarter as a whole, is due on 12 November 2026. The Bank of England's next interest rate decision is on 5 November, and the Autumn Budget on 28 October.
Frequently asked questions
How much did the UK economy grow in August 2026?
UK GDP grew 0.1% in August 2026. Production rose 0.8%, services were flat and construction fell 0.2%.
How fast is the UK economy growing over three months?
GDP grew 0.7% in the three months to August 2026 compared with the three months to May, with services up 0.9%, production down 0.2% and construction down 1.0%.
When is the next UK GDP figure published?
The ONS is due to publish the September 2026 monthly estimate, including the first estimate for July to September, on 12 November 2026.
Sources
- ONS: GDP monthly estimate, UK: August 2026 (15 October 2026) (reviewed 27 October 2026)
- AJ Bell: UK economy defies expectations with 0.1% monthly rise in August (reviewed 27 October 2026)