UK Trade Deficit Narrows in September


UK trade gap in goods and services decreased to £1.353 billion in September of 2015 from a downwardly revised £2.9 billion shortfall in August. Lower than expected deficit can be mostly attributed to rise in exports of goods (by £600m in the month to £24bn) and decline in imports of goods (by £900m to £33.3 billion).

Total exports increased by 1.3 percent (£0.6 billion) to £42.7 billion, attributed to goods; specifically chemicals which increased by £0.6 billion and finished manufactures which increased by £0.4 billion. 

Total imports decreased by 2.2 percent (£1.0 billion) to £44.0 billion over the same period. This decrease comprised a £0.1 billion fall in the import of services and a £0.9 billion fall in the import of goods. 

The deficit on trade in goods was £9.4 billion in September 2015; narrowing by £1.4 billion when compared with August 2015. 

Exports of goods to EU countries fell by 2.1 percent (£0.2 billion) in September 2015 with exports of oil falling by £0.4 billion. Imports to the EU increased by 0.5 percent (£0.1 billion); mainly due to a rise in imports of aircraft. Sales to countries outside the EU increased by 6.8 percent (£0.8 billion), boosted by chemical exports which increased by £0.5. Imports fell by 6.1 percent (£1.0 billion); specifically unspecified goods which fell by £1.0 billion. 

Considering quarter 3, the UK’s deficit on trade in goods and services was estimated to have been £8.5 billion; widening by £5.1 billion when compared with quarter 2 2015. Exports of goods fell 7.9 percent, reflecting decreases in shipments of oil (£1.3 billion), chemicals (£1.1 billion) and finished manufactures (£1.7 billion). 

UK Trade Deficit Narrows in September


ONS | Joana Taborda | joana.taborda@tradingeconomics.com
11/6/2015 10:17:27 AM