Overview

• The UK economy grew by 0.5% in February 2025, exceeding economists' forecasts of 0.1%, according to the Office for National Statistics (ONS).
• January GDP figures were revised upward from a 0.1% contraction to flat growth, signaling economic stabilization before February's rebound.
• Growth was broad-based, with a 1.5% rise in manufacturing, supported by strong performance in pharmaceuticals, electronics, and car production.
• UK exports to the US increased by £500 million in February as businesses rushed to ship goods ahead of newly implemented US tariffs.
• Chancellor Rachel Reeves welcomed the growth as an 'encouraging sign,' while analysts warn of potential headwinds from Trump's tariffs and global economic uncertainties.