09/04/2026
The UK manufacturing sector continued to expand in March 2026, though at a slightly slower pace. The S&P Global Manufacturing PMI came in at 51.4, down from 51.7 in February, but still well above expectations of 50.1.
While the reading remains in expansion territory, it marks the weakest growth in the past three months. Output saw only modest gains, while new orders declined due to weaker domestic demand and reduced export activity.
Employment levels also dipped slightly, reflecting ongoing caution among manufacturers when it comes to hiring.
Cost pressures intensified during the month, with input prices rising at their fastest rate since October 2022. This increase was largely driven by higher energy costs, fuel prices, and more expensive transportation. In response, manufacturers also raised their selling prices.
Supply chain issues persisted, with roughly a quarter of firms reporting longer delivery times—indicating the most significant disruption in vendor performance since mid-2022.
Looking forward, business confidence has softened, as manufacturers face growing uncertainty linked to geopolitical tensions and continued cost pressures.