Northern Ireland’s latest economic figures show strong production growth, record services output and falling retail sales. For businesses across the North West, they offer encouragement while underlining that trading conditions vary considerably between sectors.

Published by NISRA on 17th September, the figures cover April to June 2026. They describe Northern Ireland’s performance as a whole, rather than the North West specifically.

The key figures

  • Production: output increased by 2.9% over the quarter and 7.8% over the year.
  • Services: output rose by 0.8% over the quarter and 0.7% over the year.
  • Retail: sales fell by 1% over the quarter and 2% over the year.

Manufacturing drives expansion

Manufacturing output rose by 9% over the year, helping production reach its highest level in the published series. Northern Ireland’s production sector has now grown in eight of the past nine quarters. UK production, by comparison, recorded no quarterly growth and an annual increase of 0.3%.

Output in computer, electronic, electrical and optical products increased by almost 28% over the year. The sector includes suppliers of data centre power systems, such as TES in Ballykelly, which has reported strong demand.

For North West businesses, this illustrates how global investment can create local opportunities. Expanding manufacturers may also need transport, maintenance, professional services and other suppliers.

Services reach a high, but growth remains modest

Services output reached a record level, although annual growth of 0.7% remained below the UK’s 1.6%.

Performance differed within the sector. Business services and finance grew by 4.3% over the year, while transport, storage, information and communications increased by 2.4%.

A record level of activity does not necessarily mean rapid growth. For members considering recruitment or expansion, demand within their own market and customers’ investment plans remain important guides.

Retail warrants attention

Retail’s decline contrasts with rising sales in Great Britain, where output increased by 0.3% over the quarter and 2.6% over the year.

The figures do not explain the causes of Northern Ireland’s fall or establish how retailers in Derry are performing. They do, however, show why stronger production figures should not overshadow conditions facing businesses dependent on consumer spending.

Members’ evidence on footfall, customer spending and operating costs remains essential to understanding the local picture.

What this means for members

These statistics measure output, not profitability, and growth across Northern Ireland should not be assumed to benefit every business or place equally.

For Derry Chamber, the priority remains ensuring North West businesses have the skills, infrastructure and connections needed to participate in that growth, alongside a city centre that attracts customers and investment.

We welcome members’ feedback on where demand is strengthening, where pressures remain and what is holding back investment. That experience helps us represent the region’s businesses in discussions with government and other partners.

Read the full economic output release, including links to NISRA’s detailed reports, on the Department for the Economy website.