UK Trade Deficit Smallest in 6 Months

The United Kingdom’s trade deficit narrowed to £3.45 billion in July 2026, down from £5.54 billion in the previous month. It was the smallest trade gap since January, when the trade balance posted a surplus, as exports rose while imports fell. Exports grew 2.1% mom to £81.92 billion, while imports edged down 0.4% to a five-month low of £85.37 billion. Goods exports increased 4.4% to £34.41 billion, driven by higher shipments to both EU and non-EU countries, which rose 5.2% and 0.6%, respectively. Exports to both the EU and non-EU countries were mainly boosted by higher exports of machinery and transport equipment. Services exports climbed 0.5% to £47.51 billion. On the import side, goods imports fell 1.1% to a six-month low of £55.37 billion, with imports from EU countries declining 1.4%, mainly due to drops in machinery and transport equipment. Meanwhile, imports from non-EU countries rose 6.7%. On the other hand, services imports rose 0.7% to £30.0 billion.

The United Kingdom's trade deficit increased to £5.54 billion in June 2026, up from an upwardly revised £3.46 billion in the previous month, as exports fell more than imports. Exports dropped 2.8% mom to £80.21 billion, while imports edged down 0.2% to a four-month low of £85.74 billion. Goods exports shed 6.4% to £32.95 billion, driven by lower shipments to both EU and non-EU countries, which dropped 7.4% and 5.4%, respectively. Exports to the EU declined mainly due to a fall in fuel and chemical exports. Meanwhile, exports to non-EU countries were mainly weighed down by lower machinery and transport equipment exports. Services exports edged down 0.1% to £47.25 billion. On the import side, goods imports fell 0.6% to a four-month low of £55.96 billion, with imports from EU countries inching down 0.3%, mainly due to drops in fuel and chemical imports. Meanwhile, imports from non-EU countries fell 1.0%. On the other hand, services imports rose 0.4% to £29.78 billion.

The United Kingdom's trade deficit narrowed to £1.04 billion in May 2026, down from a downwardly revised £7.05 billion in the previous month. It was the smallest trade gap since January, when the trade balance posted a surplus. Exports rose 2.8% mom to a record high of £82.91 billion, while imports dropped 4.3% to a four-month low of £83.96 billion. Goods exports grew 7.0% to £35.86 billion, driven by higher shipments to both EU and non-EU countries, which rose 1.8% and 7.3%, respectively. Exports to the EU increased due to a rise across several commodities. Meanwhile, exports to non-EU countries were mainly driven by higher chemical exports. Services exports edged up 0.1% to £47.06 billion. On the import side, goods imports fell 6.2% to a four-month low of £54.52 billion, with imports from EU countries declining 1.2%, mainly due to a drop in machinery and transport equipment. Meanwhile, imports from non-EU countries rose 3.2%. Services imports dropped 0.5% to £29.44 billion.