UK Economy Inches Forward in Q4 as Production Surge Offsets Construction Slump

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Source: Dukascopy Bank SA
The UK economy grew by an unrevised 0.1% in Q4 2025, bringing total annual growth for the year to 1.4%, a slight upward revision from previous estimates. This quarterly performance was characterized by a 1.2% expansion in the production sector, driven largely by manufacturing and energy, which offset a 2.0% decline in construction and flat growth in services. While GDP per head saw a marginal 0.1% dip in the final quarter, Real Household Disposable Income per head rebounded by 1.2%, helping to lift the household saving ratio to 9.9%. Despite revisions to underlying components and a 3.2% annual increase in the GDP implied deflator, the overall quarterly growth path for 2024 and 2025 remains consistent with previous reports.



Despite revisions to underlying components and a 3.2% annual increase in the GDP implied deflator, the overall quarterly growth path for 2024 and 2025 remains consistent with previous reports.

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