The UK economy recorded stronger-than-expected growth of 0.5% in February, offering a welcome boost to business confidence and easing immediate fears that President Trump’s global tariff policy would constrain British output.
Figures released on Friday by the Office for National Statistics (ONS) showed broad-based expansion across services, production and construction. The result far outpaced economists’ forecasts of 0.1% growth, and followed a revised estimate of 0.0% growth in January (originally reported as a 0.1% contraction).
The rebound comes as a surprise to many analysts, given the heightened uncertainty triggered by Trump’s protectionist trade measures — including a 10% import tariff on UK goods, which remains in place despite a recent 90-day pause on steeper charges.
“The economy grew strongly in February with widespread growth across both services and manufacturing industries,” said Liz McKeown, ONS director of economic statistics.
The services sector — which accounts for around 80% of UK economic activity — grew 0.3%, supported by robust performance in computer programming, telecoms and car dealerships. Meanwhile, production output rose by 1.5%, with electronics, pharmaceuticals, and car manufacturing all showing strong gains. Construction output increased by 0.4%.
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