The UK economy expanded by 1.2% year-over-year in Q2 2026, accelerating from 0.9% growth in Q1 and exceeding the expected 1.1% expansion, preliminary estimates showed. Growth was supported by a 1.5% increase in services output, with information and communication and professional, scientific and technical activities among the largest contributors. Production output rose 0.3%, driven by manufacturing and mining and quarrying, while construction output fell 2.0%. On the expenditure side, household consumption increased 1.0%, while government consumption rose 1.4%. Gross fixed capital formation climbed 2.7%, supported by higher investment in information and communication technology and other machinery and equipment. Business investment increased 0.8%. Trade provided a drag on growth as exports increased 2.4%, while imports rose 2.9%.