The latest trade bulletin from the Office for National Statistics (ONS) shows that the value of goods exports decreased by £0.7 billion (2.2%) because of a fall in exports to non-EU countries, while exports to EU countries remained stable.
Available HERE, the August 2023 bulletin also shows that the total trade in goods and services deficit narrowed by £3.5 billion to £10.4 billion in the three months to August, as imports fell by more than exports.
Goods export volumes to the EU declined by 1.8% month on month, and to the rest of the world by 7.2% month on month. Goods imports volumes from the EU fell by 3.2% from July but import volumes from the rest of the world rose by 1.7%.
Reacting to the publication of the latest figures, British Chambers of Commerce (BCC) Head of Trade Policy, William Bain, said: “August was not a good month for UK goods exports. There were falls in both EU and rest of the world trade — where after removing the effects of inflation, volumes fell by 7.2% month on month.”
The export gains of July went into reverse during August, he continued, which brings the UK more into line with the global trade picture for June–July this year.
“The overall picture on UK goods exports volumes to the EU has been flat over the last 18 months, when you remove the effects of inflation,” Mr Bain concluded.
The BCC has recommended several areas where this could be addressed, including a veterinary deal, youth mobility schemes, and improved conditions for firms on VAT compliance and fiscal representatives.
