Britain's benchmark index moved higher on Wednesday after official data showed the UK economy grew faster than previously thought, even as the market remains on course for its worst monthly performance since March.
The blue-chip FTSE 100 was up 0.26% at 10,664.93 by 1018 GMT, while the domestically focused FTSE 250 climbed 0.74%. The Office for National Statistics revised second-quarter growth for the April-to-June period up to 0.5%, pointing to unexpected resilience despite geopolitical upheaval and turmoil in global bond markets.
The bounce comes at an awkward moment for UK equities. The FTSE 100 is still on track for its seventh consecutive quarterly gain — but also for its largest monthly loss since March, underscoring how shaky investor confidence has been through September.
Banks and utilities lead, energy lags
Banks were the biggest contributors to the day's advance, riding the improved growth picture. Utilities jumped 2.7% after Prime Minister Andy Burnham unveiled a set of policy announcements affecting the sector: National Grid and SSE each rose about 3%, while United Utilities and Severn Trent added roughly 2.3% each. Energy stocks were the main drag, slipping 1% as the broader market moved higher.
Domestic rate expectations remain in focus. Bank of England policymaker Alan Taylor said it was "unclear" whether the central bank could manage a single rate hike without fuelling market speculation, while traders are pricing in at least one 25-basis-point increase from the BoE before the year ends, according to LSEG data.
Among individual movers, Greggs surged 7.4% after the bakery chain raised its annual profit outlook. Investors are also keeping an eye on upcoming US personal consumption expenditure figures, which could shape expectations for global monetary policy.
Sources: FTSE 100 climbs on stronger UK GDP, on track for worst month since March — Reuters, September 30, 2026.
The blue-chip FTSE 100 was up 0.26% at 10,664.93 by 1018 GMT, while the domestically focused FTSE 250 climbed 0.74%. The Office for National Statistics revised second-quarter growth for the April-to-June period up to 0.5%, pointing to unexpected resilience despite geopolitical upheaval and turmoil in global bond markets.
The bounce comes at an awkward moment for UK equities. The FTSE 100 is still on track for its seventh consecutive quarterly gain — but also for its largest monthly loss since March, underscoring how shaky investor confidence has been through September.
Banks and utilities lead, energy lags
Banks were the biggest contributors to the day's advance, riding the improved growth picture. Utilities jumped 2.7% after Prime Minister Andy Burnham unveiled a set of policy announcements affecting the sector: National Grid and SSE each rose about 3%, while United Utilities and Severn Trent added roughly 2.3% each. Energy stocks were the main drag, slipping 1% as the broader market moved higher.
Domestic rate expectations remain in focus. Bank of England policymaker Alan Taylor said it was "unclear" whether the central bank could manage a single rate hike without fuelling market speculation, while traders are pricing in at least one 25-basis-point increase from the BoE before the year ends, according to LSEG data.
Among individual movers, Greggs surged 7.4% after the bakery chain raised its annual profit outlook. Investors are also keeping an eye on upcoming US personal consumption expenditure figures, which could shape expectations for global monetary policy.
Sources: FTSE 100 climbs on stronger UK GDP, on track for worst month since March — Reuters, September 30, 2026.
