British equities moved higher on Thursday as the pound weakened against the dollar, while several UK-listed companies released trading updates. In contrast, broader European markets mostly traded lower.
The blue-chip FTSE 100 climbed 0.5%, while sterling slipped 0.5% against the dollar, pushing the GBP/USD pair down to 1.3384.
Elsewhere in Europe, Germany’s DAX rose 0.4%, while France’s CAC 40 edged 0.2% lower.
UK market roundup
The UK economy expanded by 0.3% in November, rebounding from a 0.1% contraction in October, according to figures released on Thursday by the Office for National Statistics. On a year-on-year basis, economic growth improved to 1.4% in November from 1.1% in the previous month. Despite the return to growth, uncertainty continues to cloud the broader economic outlook.
In corporate news, Rio Tinto and BHP Group said they had signed a non-binding memorandum of understanding to jointly explore the mining of up to 200 million tonnes of iron ore at their neighboring operations in the Pilbara region of Western Australia. The agreement covers potential development of Rio Tinto’s Wunbye deposit and includes BHP supplying ore from its Yandi mine for processing.
Asset manager Schroders said it expects its 2025 full-year results to beat market expectations. The company forecasts adjusted operating profit of at least £745 million, up from £603.1 million in 2024, while adjusted net operating income is projected to reach a minimum of £2.58 billion, compared with £2.44 billion a year earlier, supported by higher income and stable costs.
UK housebuilder Taylor Wimpey warned that its operating profit margin is likely to come under pressure in 2026 due to a weaker opening order book and softer pricing on bulk sales. For 2025, the group now expects operating profit of around £420 million, slightly below its prior guidance of £424 million, with the operating margin narrowing to 11% from 12.2% in 2024.
Rathbones Group reported that funds under management and administration rose 2.3% quarter-on-quarter to £115.6 billion at December 31, 2025, up from £113 billion at the end of September and £109.2 billion a year earlier. Growth was driven primarily by its Wealth Management division, where funds increased to £106.2 billion from £103.2 billion in the previous quarter.
Meanwhile, Mitchells & Butlers delivered strong first-quarter trading, reporting like-for-like sales growth of 4.5% for the 15 weeks ended January 10, 2026. Performance was particularly robust over the festive period, with like-for-like sales rising 7.7% during the core three-week holiday window, supported by higher volumes.
Safestore Holdings also posted solid results for the year ended October 31, 2025. Total revenue increased 4.9% to £234.3 million despite inflationary cost pressures. Like-for-like revenue rose 3.1% across all markets, with UK revenue up 3.3% to £167.5 million, Paris revenue gaining 2.5% to €52.6 million, and Expansion Markets delivering strong growth of 27% to €26.2 million.
