February 3, 2026 – Birmingham Britain’s manufacturing sector expanded at its fastest pace in nearly two years last month, driven by increased export demand and improved business confidence, according to newly released economic data.
The purchasing managers’ index (PMI) showed a significant rise, suggesting renewed strength in factory output. Economists attributed the boost to stabilising global demand and easing supply chain disruptions.
Manufacturers reported stronger orders from European and North American markets. Automotive and aerospace sectors were among the strongest performers.
Business leaders expressed cautious optimism. “We are seeing signs of sustainable recovery,” said one manufacturing executive.
However, some firms warned of lingering cost pressures, particularly in energy and raw materials.
Government officials described the figures as encouraging evidence of economic resilience.
Economists cautioned that interest rate decisions later this year could influence momentum.