UK economy grows 0.1% in May, services offset weak production

Britain’s economy grew by 0.1% in May, a faint rebound after a 0.1% fall in April that leaves households and businesses with little sign of a broad-based pickup. The Office for National Statistics said the monthly gain was driven by a 0.3% rise in services output, while production fell 0.5% and construction dropped 0.8%.

The figure is better read as a reality check than a victory lap. A one-tenth of 1% increase does not point to a surge in spending power, cheaper borrowing or a sharp improvement in wage momentum. It does, however, show that the UK avoided another monthly contraction as services held the economy up while industrial activity and building work weakened.

The broader picture was steadier. In the three months to May, real GDP rose 0.7% from the three months to February, the sixth consecutive three-month period of growth. Over that stretch, services expanded 0.7%, construction rose 1.6% and production edged up 0.1%, leaving the economy on a slow upward path even as individual months remained choppy.

Liz McKeown, director of economic statistics at the ONS, said the economy recorded robust growth in the three months to May, though the pace eased slightly because the latest two months were weaker. She said services growth was led by computer programming and advertising, while the often-volatile pharmaceutical industry also performed well. That split matters: it suggests the economy is still leaning heavily on parts of the services sector rather than on the kind of broad industrial strength that would usually lift confidence more convincingly.

The ONS said April’s figure was open for revision in the latest release, and it revised data from January 2024 through March 2026 in line with its 30 June quarterly national accounts bulletin. The next monthly GDP release is scheduled for 13 August, giving policymakers and investors another checkpoint on whether the recent crawl forward can turn into something stronger than 0.1%.