Factory sentiment pushes above the growth line as export orders return, giving executives, investors and dealmakers a sharper read on Britain's industrial base, even as labour costs and input inflation test pricing power.

SINGAPORE, SG / ACCESS Newswire / February 13, 2026 / Fresh factory data is giving investors and deal teams a clearer read on Britain's industrial pulse, and Sunnov Investment Pte. Ltd. flags the signal as it lands: the S&P Global UK Manufacturing Purchasing Managers' Index registers 51.8 in the latest monthly survey, up from 50.6 in the prior reading and a touch above the 51.6 flash estimate.

Under the survey's standard 50 threshold that, in each monthly release, separates growth from contraction, the latest print points to output expansion for a third consecutive survey month, with producers citing steadier schedules across consumer, intermediate and investment goods.

New orders lead the improvement, with the sub-index at 53.2 in the same survey month, rising from 50.2 one reading earlier and marking the strongest performance in almost four years. Export demand returns to expansion for the first time in four years, with manufacturers pointing to stronger flows into continental Europe, the United States, China and selected emerging economies. For Thomas Gardner, Director of Private Equity at Sunnov Investment Pte. Ltd., "the export channel is reopening, and that matters because it is the fastest way for order books and operating leverage to rebuild", a view that directs attention towards companies with resilient overseas distribution and disciplined working-capital management.

In its latest note, Sunnov Investment focuses on breadth as much as direction, with new orders, output and suppliers' delivery times all registering in expansion territory in the most recent release. Large manufacturers set the pace, benefiting from established distribution and procurement scale, while smaller firms continue to work through thinner pipelines and uneven access to international channels.

Business confidence lifts towards pre-budget levels, and 58% of surveyed companies expect output to increase over the year ahead, a shift that feeds directly into hiring plans, capital expenditure and inventory decisions. The contrast with the eurozone remains clear, with the region's factory activity still sitting below the 50 line in the latest readings despite early signs of stabilisation.

Policy signals are increasingly part of the operating picture, with the government's emerging industrial strategy offering a clearer direction of travel and a $544 million defence manufacturing commitment over a multi-year programme window earmarked for capacity, including large-calibre barrel production. Make UK's latest forecast keeps expectations measured, projecting a 0.5% contraction over the most recently completed calendar year followed by 1% growth over the year ahead, and for Gardner "policy consistency is not a luxury for manufacturers, it is the difference between a one-off uptick and a cycle of investment".

Fiscal choices remain central to cost models, with the most recent Autumn Budget setting out measures expected to raise about $33.8 billion over the next five fiscal years. Employer National Insurance contributions move to 15% from 13.8% from the start of the fiscal period now under way, while the government holds corporation tax at 25% across the parliamentary term, giving finance teams a clearer baseline for planning. At the same time, the latest survey month points to renewed input inflation across energy, freight, metals and packaging, and output prices rise for a second consecutive reading as firms test what customers will absorb.

Staffing trends underline how selective the recovery remains, with employment falling for a fifteenth consecutive survey month even as the pace of reduction eases within that run. Large firms report more stability, while smaller manufacturers continue to trim headcount and delay recruitment decisions until demand becomes more durable.

Taken together, the latest PMI bundle offers Sunnov Investment a message that looks straightforward on the surface and more complex underneath: Britain's factories are moving back into expansion, and exports are doing more of the heavy lifting, but margins and hiring remain sensitive to costs. Gardner's assessment that "a higher PMI only becomes investable when repeat orders meet a cost base that stops creeping up" sets the test for the next sequence of releases.

About Sunnov Investment

Based in Singapore, Sunnov Investment is an investment manager founded in 2012, serving accredited investors, foundations and endowments worldwide. The firm runs long-only equity strategies alongside complementary long/short equity, global macro, event-driven and systematic mandates, while developing structured access routes for eligible retail participation.

SOURCE: Sunnov Investment Pte. Ltd.



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