UK manufacturing growth accelerates as export orders rise

Greater optimism in PMI survey, adding to signs Bank of England will keep interest rates on hold this week

British manufacturers enjoyed one of their best months since Labour came to power in January, according to a closely watched survey, adding to signs that the Bank of England will decide to keep interest rates on hold this week.

The purchasing managers' index (PMI), which measures activity in the private manufacturing sector, rose to 51.8 in January from 50.6 in December, the best reading since August 2024. Any reading above 50 represents growth.