UK Economy Grew 0.7% in Third Quarter as Services Led
UK GDP rose 0.7% in July to September, the ONS said, with services doing the heavy lifting while construction fell 0.7%.
The UK economy grew by 0.7% in the third quarter of 2026, according to the first estimate from the Office for National Statistics (ONS) published on 12 November.
That compares with growth of 0.5% in the second quarter, and output was 1.9% higher than a year earlier.
Monthly picture
GDP grew 0.2% in September. August showed no growth after a downward revision from 0.1%, while July grew 0.4%, so the quarter's strength was weighted towards the start and end of the period.
Services drive growth
The services sector grew 0.9% and was the main driver. Business-facing services rose 1.0% and consumer-facing services 0.5%. Administrative and support services (up 4.1%) and information and communication (up 2.1%) made the largest contributions.
Production and construction
Production output edged up 0.1%, with manufacturing up 0.9% the only positive contributor, offset by falls in mining, energy supply and water and waste. Construction output fell 0.7%, led by a 4.7% drop in new private housing work.
Why it matters
Stronger growth gives policymakers more room to focus on inflation, which the Bank of England is trying to contain after raising interest rates earlier this month. The weakness in housebuilding is worth watching given the government's housing targets.
The next quarterly GDP estimate is due on 22 December 2026.
Sources: Office for National Statistics, GDP first quarterly estimate, UK: July to September 2026.