The UK economy contracted by 0.1% in April 2026 after recording growth of 0.3% in March and 0.4% in February, according to the latest monthly estimate from the Office for National Statistics.
The monthly decline was driven by a 0.2% fall in services output. Construction output increased by 0.1%, while production output showed no growth.
Despite the weaker monthly performance, real gross domestic product grew by 0.7% in the three months to April 2026 compared with the previous three-month period. This followed growth of 0.6% in the three months to March and 0.5% in the three months to February.
The ONS said this represented the fifth consecutive period of three-month-on-three-month GDP growth. Services output rose by 0.8% over the period and made the largest contribution to the expansion. Construction output increased by 1.6%, while production output declined by 0.1%.
Looking at the economy over a longer period, GDP was estimated to have grown by 1.1% in the three months to April compared with the same period a year earlier. GDP in April 2026 was estimated to be 1.2% higher than in April 2025.
Within services, information and communication was among the strongest-performing areas over the three months to April, supported by gains in computer programming, consultancy and publishing activities. Wholesale and retail trade, alongside professional, scientific and technical activities, also contributed positively.
The ONS said businesses across several sectors reported that conflict in the Middle East affected activity during April. Some manufacturers, wholesalers, transport-related businesses, accommodation providers and travel agencies cited reduced turnover linked to the conflict. Businesses also reported higher energy and fuel costs.
Richard Hunter, head of markets at interactive investor, noted that the previous month had been relatively strong given that some consumers had brough forward spending in anticipation of the inflationary effects of the war, leading to a gain of 0.7% in the three months to April.
"Latterly, the oil price has shown a net drop which, combined with the potentially positive impact of spending associated with the World Cup, could underpin growth in the months ahead," Hunter added.
