UK GDP contracted -0.1% MoM in April after gains of 0.4% in February and 0.3% in March, with the weakness driven primarily by a -0.2% decline in services output. Production was unchanged on the month while construction rose 0.1%.

• The softer April reading does little to change the broader picture, however. Real GDP grew 0.7% in the three months through April, accelerating from 0.6% growth in the three months through March and 0.5% through February.
• Services remained the key driver of growth, expanding 0.8% over the latest three-month period. Construction output rose 1.6%, marking a significant improvement and extending a recovery after a prolonged downturn through much of late 2025 and early 2026.
• Production output was the weak spot, contracting -0.1% over the three months through April following a modest gain in the prior period.
• Overall, the report suggests the UK economy entered Q2 with positive underlying momentum despite a modest monthly pullback in April, as strength in services and construction continues to offset ongoing softness in the industrial sector.