Issue 40
Trade deficit worsens
The UK’s trading position with the rest of the world deteriorated in the second quarter of 2018, official figures show.
The UK’s current account deficit was £20.3 billion in the April-June quarter — a widening of the gap from the revised deficit of £15.7 billion in first quarter of the year.
The total trade deficit widened to £6.1 billion in the second quarter from a deficit of £3.3 billion in the first quarter. The widening of this deficit was driven by an increase in imports of goods, which reached a record high in the second quarter.
The trade in goods deficit in second quarter widened to £34.7 billion, while the trade in services surplus decreased to £28.6 billion in second quarter.