The economy performed better than expected in February, growing by 0.5% according to official figures released on Friday, but comes ahead of an expected hit from the global trade war.

The standard measure of an economy’s value, gross domestic product (GDP), rose in part thanks to a suprisingly strong performance from the manufacturing sector, data from the Office for National Statistics (ONS) suggested.

Following the publication of the figures, the British pound rose against the dollar, jumping 0.4% against the greenback to $1.3019 within an hour.

Analysts had been forecasting just a 0.1% GDP hike in the lead-up to the announcement, according to data from LSEG.

Chancellor of the Exchequer Rachel Reeves described the results as “encouraging”, but struck a cautious tone when alluding to US President Donald Trump’s tariffs, and the economic volatility of the past week.

“The world has changed, and we have witnessed that change in recent weeks,” she said.

“I know this is an anxious time for families who are worried about the cost of living and British businesses who are worried about what this change means for them,” Ms Reeves added. “This government will remain pragmatic and cool-headed as we seek to secure the best deal with the United States that is in our national interest.”

But back in February, when Mr Trump was just beginning his second term in office, the UK’s economy looked to be on firmer ground.

Service sectors like computer programming, telecoms and car dealerships all had strong a month, while manufacturing industries such as electronics and pharmaceuticals also helped to drive GDP growth in February.

Car manufacturing also picked up after its recent poor performance.

“The economy grew strongly in February with widespread growth across both services and manufacturing industries,” said Liz McKeown, ONS Director of Economic Statistics.

While motor vehicle manufacturing and retail both grew in February 2025, they remain below February 2024 levels by 10.1% and 1.1% respectively

This aligns with industry data showing year-on-year declines in registrations and manufacturing.

“The UK economy expanded by 0.5% in February, surprising but welcome positive news,” said Hailey Low, Associate Economist at the National Institute of Economic and Social Research.

“However, heightened global uncertainty and escalating trade tensions mean the outlook remains uncertain, with a likely reduced growth rate this year due to President Trump’s “Liberation Day” announcements.”

Ms Low said that this could create a dilemma for Ms Reeves, who would face difficult decisions later in the year when the chancellor presents her next budget.

The latest data also shows a jump from January, when the economy was flat. And compared to the same month a year ago, GDP was 1.4% higher in February 2025.

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A groundbreaking new cancer treatment, hailed by patients as “game-changing”, will be available via the NHS from today.

The drug capivasertib has been shown in trials to slow the spread of the most common form of incurable breast cancer.

Taken in conjunction with an already-available hormonal therapy, it has been shown in trials to double how long treatment will keep the cancer cells from progressing.

“I don’t look at myself anymore as a dying person,” says Elen Hughes, who has been using the drug since February this year.

“I look at myself as a thriving person, who will carry on thriving for as long as I possibly can.”

Mrs Hughes, from North Wales, was first diagnosed with primary breast cancer in 2008.

Eight years later, then aged 46 and with three young children, she was told the cancer had returned and spread.

She says that capivasertib, which she has been able to access via private healthcare, has not only extended her life but improved its quality with fewer side effects than previous medications.

It also delays the need for more aggressive blanket treatments like chemotherapy.

“What people don’t understand is that they might look at the statistics and see that [the therapy] is effective for eight months versus two months, or whatever,” says Mrs Hughes.

“But in cancer, and the land that we live in, really we can do a lot in six months.”

Mrs Hughes says her cancer therapy has allowed her “to see my daughter get married” and believes it is “absolutely brilliant” that the new drug will be available to more patients via the NHS.

The National Institute for Health and Care Excellence approved capivasertib for NHS-use after two decades of research by UK teams.

Professor Nicholas Turner, from the Institute of Cancer Research which led the study, told Sky News it was a “great success story for British science”.

The new drug is suitable for patients’ tumours with mutations or alterations in the PIK3CA, AKT1 or PTEN genes, which are found in approximately half of patients with advanced breast cancer.

Read more:
How AI could transform breast screening results
Breast cancer cases and deaths set to surge – study

Prof Turner says hundreds of patients could see the benefit in the immediate future, with thousands more people identified over time.

“We need new drugs that will help our existing therapies work for longer, and that’s where this new drug, capivasertib comes in,” says Prof Turner.

“It doubles how long hormone therapy treatment works for, giving patients precious extra time with their families.”

He called for urgent genetic testing of patients with advanced breast cancers to see if they could benefit.