UK Economy Surges 0.5% in February 2026, Beating Expectations

The Office for National Statistics reports that the UK economy showed steady improvement after a flat period late in 2025. Gross domestic product grew by 0.5% in the three months to February 2026, up from 0.3% previously and no growth before that. Services led the expansion with a 0.5% rise, while production increased by 1.2%. However, construction remained weak, falling by 2.0% over the same period, continuing earlier declines. In February alone, GDP rose by 0.5%, stronger than January’s 0.1% gain. Services and production each grew by 0.5%, while construction rebounded with a 1.0% increase. Over the year, GDP is estimated to be 1.0% higher, with services up 1.1%, production up 0.3%, and construction down 1.8%, showing uneven but improving economic activity.