U.K. Trade Deficit Widens to £5.1bn in September


The U.K. trade deficit widened to a record in September as exports to non European Union countries fell, as stronger pound lowered demand for British goods and global economic growth is cooling.

The UK's deficit on trade in goods and services was £5.1 billion in September, compared with a revised deficit of £4.2 billion in August (previously published as £4.1 billion).

The surplus on trade in services was £2.7 billion, the same as in August.

The deficit on trade in goods was £7.8 billion, compared with a deficit of £6.9 billion in August (the same as previously published). Exports fell by £0.2 billion and imports rose by £0.6 billion.

The deficit with the enlarged EU (27 countries including Bulgaria and Romania) was little changed from that in August at £3.0 billion. Exports rose by £0.1 billion and imports rose by £0.2 billion. There were increases in exports of oil, and capital goods, but exports of chemicals were lower. There was a rise in imports of cars, but imports of intermediate goods were lower. The deficit with non-EU countries widened to £4.7 billion compared with the deficit of £4.0 billion in August. Exports fell by £0.3 billion and imports rose by £0.5 billion. A rise in exports of oil was more than offset by a fall in exports of intermediate goods. There were rises in imports of oil, consumer goods other than cars, and intermediate goods. Imports of chemicals fell.

Excluding oil and erratic items, the volume of exports was four per cent lower in September than in August and the volume of imports was one per cent higher.


TradingEconomics.com, the Office for National Statistics
11/9/2007 6:48:36 AM