UK October manufacturing PMI shows fastest output growth in two years

LONDON, Nov 2 (Reuters) - British manufacturers started the final quarter of 2026 with the strongest output growth in more than two years, a survey showed on Monday, although fast-rising costs may worry the Bank of England, which looks set to raise interest rates this week.

The S&P Global Purchasing Managers' Index for British manufacturers rose to a five-month high of 52.8 in October from 51.9 in September, in line with an earlier flash estimate. The output component, sometimes seen ⁠as a better gauge of underlying conditions, rose to 53.6 from 51.5, its highest since September 2024.

"Rates of growth in output and new orders both gathered pace in October, as companies responded to signs of improving demand in both domestic and overseas markets, including new work received from mainland China, the EU and the US," said Rob Dobson, a director at S&P Global Market Intelligence.