| Consensus | Consensus Range | Actual | Previous | Revised | |
|---|---|---|---|---|---|
| Month over Month | 0.1% | 0.1% to 0.2% | 0.1% | 0.0% | -0.1% |
| 3-Months over 3-Months | 0.3% | 0.2% |
Highlights
The UK economy showed little signs of resilience in August 2025, with monthly GDP edging up by 0.1 percent after a slight contraction in July. This slight rebound reflects a fragile recovery pattern, supported mainly by production growth of 0.4 percent, while services stagnated and construction slipped by 0.3 percent. The uneven performance across sectors emphasizes the continued struggle to sustain broad-based momentum amid global and domestic uncertainties.
Over the three months to August, GDP grew 0.3 percent, a mild improvement from the 0.2 percent expansion in the previous quarter. The services sector, which remains the backbone of the UK economy, maintained steady growth of 0.4 percent, whereas production output contracted by 0.3 percent, showing some easing from earlier declines. Construction activity, though positive at 0.3 percent, slowed compared with prior months, hinting at cooling investment and housing demand.
The latest updates suggest that the UK economy remains on a cautious recovery path, balancing between modest output gains and sectoral weaknesses. Hence, while growth has not stalled, its narrow base points to underlying vulnerabilities that could make future progress highly sensitive to shifts in energy prices, trade dynamics, and consumer demand. These updates take the RPI and RPI-P to 3, meaning that economic activities are performing in line with the expectations of the UK economy.
Over the three months to August, GDP grew 0.3 percent, a mild improvement from the 0.2 percent expansion in the previous quarter. The services sector, which remains the backbone of the UK economy, maintained steady growth of 0.4 percent, whereas production output contracted by 0.3 percent, showing some easing from earlier declines. Construction activity, though positive at 0.3 percent, slowed compared with prior months, hinting at cooling investment and housing demand.
The latest updates suggest that the UK economy remains on a cautious recovery path, balancing between modest output gains and sectoral weaknesses. Hence, while growth has not stalled, its narrow base points to underlying vulnerabilities that could make future progress highly sensitive to shifts in energy prices, trade dynamics, and consumer demand. These updates take the RPI and RPI-P to 3, meaning that economic activities are performing in line with the expectations of the UK economy.
Market Consensus Before Announcement
Another tiny 0.1 percent increase is the call for monthly GDP.
Definition
Gross domestic product (GDP) is the broadest measure of aggregate economic activity and encompasses every sector of the economy. The monthly report is based on output data only as the income and expenditure series are not available.
Description
GDP covers all aspects of economic activity. Investors need to closely track the economy because it usually dictates how investments will perform. Stock market investors like to see healthy economic growth because robust business activity translates to higher corporate profits. GDP contains a treasure-trove of information which not only paints an image of the overall economy, but tells investors about important trends within the big picture. However, the monthly report is quite limited and only provides data on the main output sectors. More detailed information is available in the quarterly reports.
